A group headed by the family offices of Manipal Group's Ranjan Pai (Claypond Capital) and Wipro founder Azim Premji (Premji Invest) is planning to purchase a minority interest in Akasa Air.

The airline will use the share as part of its USD 130–140 million fundraising campaign. According to the article, the Premji-Pai coalition has contributed more than USD 100 million, and the investment round is being completed by additional contributions from other investors. According to Tracxn, the airline was valued at just under USD 350 million during negotiations, which is a significant increase from its 2021 assessment of USD 86 million.

The Competition Commission of India's (CCI) regulatory approvals are being sought, and the deal's final details have been decided. The Jhunjhunwala family estate intends to increase its interest in Akasa Air, which it now owns 38% of through a number of trusts.

The largest stakeholder will still be the Jhunjhunwala family, even if the shares of Founder and CEO Vinay Dube and his siblings have been diluted. According to the report, the Dube family and the Jhunjhunwala estate currently possess about 67% of the airline.

The recently collected funds will be used to support Akasa Air's expansion and aircraft pre-delivery payments as part of its growth strategy. Earlier this month, the airline and the Premji-Pai partnership inked a term sheet, and the deal is anticipated to finalize shortly.

Akasa Air's market position is strengthened by this fundraising round, which also shows faith in the company's long-term prospects and business plan in the cutthroat aviation industry.