The much-awaited Accenture report, looking into the merger of Kingfisher and Air Deccan, will be submitted to the boards of the two companies on December 19, Kingfisher Airlines chairman Vijay Mallya said on the sidelines of the India Economic Summit here on Monday.
?The report will be presented to the boards of Kingfisher and Air Deccan on December 19 after which the future move will be decided,? Mallya said.
The report is looking into various issues relating to operation synergies, network rationalisation and corporate structure of the two companies, apart from other issues.
The merger would help Kingfisher fly abroad. As per current norms, only airlines with five years of domestic flying experience can go to overseas. Air Deccan will complete five years of operations by August-September next year.
Mallya said there was no logic as to why Kingfisher or Deccan should not be allowed to fly abroad.
?Even civil aviation minister has said that Kingfisher can fly on Deccan?s entitlement.
So I do not see a problem,? Mallya said. ?We are looking at routes connecting Bangalore and New York, San Francisco and London?.
The report will also look into whether Mallya needs new funding options. ?We have just merged Shaw Wallace and United Spirits. It leaves me with a treasury stock which is conservatively priced at around Rs 2,000 crore,? Mallya said. ?If we need to revisit funding options, it will be done only after the report is presented,? he added.