Akasa Air’s Quiet Power Move: A Strategic JV with Global Lessor in the Making?
An exclusive look at the rumored Akasa–Lessor joint venture and what it could mean for India's aviation and aircraft leasing landscape
In a strategic development that may reshape India’s aircraft financing ecosystem, Akasa Air, one of India’s youngest and fastest-growing carriers, is reportedly in advanced talks with a top-tier global aircraft lessor to form a joint venture (JV) focused on aircraft leasing and financing.
While the deal remains under wraps, industry insiders have confirmed that a confidential notice was filed with the Competition Commission of India (CCI) in April 2025, indicating that the transaction has entered the regulatory review stage.
Akasa Air: India’s Fastest Climber in the Skies
Since its launch in August 2022, Akasa Air has grown from a humble 2-aircraft startup to operating a fleet of 23 Boeing 737 MAX aircraft as of mid-2025. It has already placed firm orders and options for more than 150 aircraft, signaling long-term fleet expansion and ambitions to tap into international medium-haul markets.
Metric
Value (as of June 2025)
Fleet Size
23 aircraft (B737 MAX)
Aircraft on Order
226 (includes MoUs)
Domestic Market Share
~6.8%
Projected FY25 Revenue
₹4,200 crore (estimated)
Profitable Since
Q4 FY24
The Rumored JV: What We Know So Far
Although neither party has officially commented, credible industry whispers point toward the following:
Element
Details
JV Partners
Akasa Air + Undisclosed Global Lessor (likely Tier-1)
Nature of JV
Aircraft leasing and structured financing
Headquarters
Possibly GIFT City (IFSC) or Singapore
JV Focus
Finance new deliveries, act as captive lessor, sublease excess capacity
Regulatory Filing
Confidential notice filed with CCI (April 2025)
Deal Size
Undisclosed, estimated ~$600–800 million exposure
If successful, this JV would be the first India-origin airline-led co-leasing venture with a global lessor, breaking away from the traditional sale-and-leaseback dependency model that most Indian airlines rely on.
What Is a CCI Confidential Notice?
Under Indian competition law, any significant merger or JV must receive CCI clearance. A confidential notice under Regulation 5A allows companies to seek pre-clearance without disclosing sensitive deal details publicly.
Filed: April 2025
Expected Review Period: 30–60 days
Estimated Clearance Window: July–August 2025
Once CCI approval is received, the parties will be free to officially announce the JV and proceed with incorporation.
Why This Deal Matters — 5 Strategic Impacts
S. No
Strategic Benefit
Implication
1
Fleet Financing Control
Akasa can reduce lease rate dependency and volatility
2
Guaranteed Delivery Slots
Potential to secure scarce OEM delivery positions
3
International Leasing Footprint
May serve third-party operators and monetize idle capacity
4
Tax Advantage via GIFT IFSC
Up to 100% tax exemption on leasing income for 10 years
5
India as Leasing Hub
Boosts India’s standing in global aircraft finance ecosystem
India’s Growing Aircraft Leasing Ambitions
Akasa’s possible move aligns with India’s GIFT City aircraft leasing vision. Since 2021, India has introduced leasing-friendly tax and legal frameworks to bring back the $10 billion+ leasing economy currently routed through Ireland, Singapore, and the UAE.
Snapshot: India’s Aircraft Leasing Landscape
Metric
Value
Aircraft leased into India
>85% of all commercial aircraft
Top Foreign Lessors
SMBC, ACG, GECAS, BOC Aviation
GIFT City Registered Lessors
20+ as of 2025
Indian Lessor Participation
Nascent (less than 5%)
What Happens Next?
Based on the current timeline and regulatory procedures, here’s a projected roadmap:
Timeline
Milestone
April 2025
CCI confidential notice filed
July–August 2025
Anticipated CCI clearance
Aug–Sept 2025
Official JV announcement
Q4 2025
JV entity setup and operational launch
Once operational, the JV could begin absorbing Akasa’s future aircraft deliveries, potentially starting with Boeing 737 MAX aircraft scheduled for early 2026.
Industry Buzz
“If true, this would be a game changer. It’s rare for a young Indian airline to think this long-term. It’s a model Indigo and GoFirst could’ve used years ago,”
says a Senior executive from a global leasing firm, requesting anonymity.
“A co-lessor strategy not only saves costs but future-proofs delivery positions in a tightening market”
Former aircraft financing advisor to Indian airlines.
Final Take: A Strategic Masterstroke in the Making?
If confirmed, Akasa Air’s potential JV signals more than just a financing deal — it showcases a mature, forward-looking airline keen to carve out control of its own destiny. In an environment where access to capital and delivery slots are increasingly scarce, such moves separate survivors from market leaders.
This could very well be India’s first airline-led aircraft leasing innovation at scale — and might spark a trend across Vistara, Indigo, and even newer regional operators.
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Final Take: A Strategic Masterstroke in the Making?
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