Now Reading: Centre may merge Balmer Lawrie with IRCTC to boost air ticketing
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Centre may merge Balmer Lawrie with IRCTC to boost air ticketing
The Railways, Petroleum, and Finance ministries are examining a merger of Balmer Lawrie and IRCTC, which would help the railway company expand its air-ticketing business.
The Railways, Petroleum, and Finance ministries are examining a merger of Balmer Lawrie and IRCTC, which would help the railway company expand its air-ticketing business.
Balmer Lawrie already runs travel services including air-ticketing for government travellers through its subsidiary. IRCTC, which is the largest online railway ticketing platform in India, has been looking to grow its air-ticketing arm.
The proposal is at an early feasibility stage and requires approval from the Cabinet before it proceeds further.
Indian Opinion Analysis
The merger would give IRCTC control of Balmer Lawrie's travel division, which books air tickets for government employees under the Central Travel Service scheme. IRCTC already holds a monopoly over railway ticketing but faces competition in the air segment from private portals like MakeMyTrip. The next step is a formal feasibility report before the Cabinet clears any amalgamation. Any valuation of the deal will depend on Balmer Lawrie's non-travel businesses, which include leather chemicals and industrial packaging, that IRCTC may or may not retain.
Source: ndtvprofit.com
This brief was synthesised by AI from the source linked above.
