Capt Gopinath senses his chance, even as Jet and Kingfisher cosy up

15 October 2008

New Delhi/Bangalore: Finding himself marooned in the Andamans, metaphorically speaking, even as high fliers of the Indian aviation world Naresh Goyal and Vijay Mallya struck what appears to be a path breaking alliance, pioneering aviation personality Capt GR Gopinath, may now be considering retrieving his low cost carrier Air Deccan from within the Kingfisher fold and strike out on a separate path.

Reports suggest that apart from discussing the proposed alliance with Jet at a Kingfisher board meeting, Capt Gopinath, vice-chairman of Kingfisher Airlines, may also make an offer to Kingfisher chairman Vijay Mallya for the erstwhile Air Deccan.

Air Deccan currently sports the livery of Kingfisher Airlines and flies re-incarnated as Kingfisher Red.

In interactions with the media, Mallya has pooh-poohed the chances of any such buyout. He said "there was nothing to buy or sell" for the two airlines were already merged. Also, with Mallya holding a 65 per cent share in the merged airline, any hostile takeover action is effectively prevented, unless he should agree to sell.

"I hold 65 per cent stake in the airline. If there is a so-called bid, we will see it off when it is made," Mallya informed the media yesterday.

According to stock exchange filings, Gopinath has 5.58 per cent stake, and along with his associates may control between 9-10 per cent of the shareholding.