Tata Group to take 36% stake in BJETS

Indian Hotels Company, a part of the Tata Group, is picking up around 36-37% equity stake in BJETS - a fractional ownership private jet company headquartered in Mumbai. Singapore-based Briley group (a $2 billion group with interests in aviation, hospitality and BPO) will be the majority shareholder in BJETS.

The Tata Group has a stake in domestic low-cost carrier SpiceJet.

As part of its ambitious drive to be Asia's largest business jet operator, the newly-floated company has also signed the single-biggest order ever in Asia for a fleet of 50 brand new jets worth over $600 million (Rs 2,400 crore).

BJETS is planning to provide private jets to high net worth individuals under fractional ownership where they can own part of an aircraft as well as get a fixed flying time at their disposal.


The company will have a flight operations centre at the new Hyderabad international airport.

Deliveries of the aircraft will be over a period of five years beginning in the first quarter of 2008 comprising 20 Cessna Citation CJ2+ jets and 20 Hawker 850XP and 900XP jets with options for 10 more jets. The first 15 jets will be delivered by the end of 2008. BJETS will start operations from May 2008.

Mark Pierre, CEO, BJETS, said: "While 70% of the fleet will be stationed in India, the rest will be in south east Asia. Our aicraft will be able to fly to at least 120 airports in India. The market in India is under-served with only 100 jets compared to 13,000-14,000 in Europe and US."

Pierre expects the company to have a turnover of around $600 million in its fifth year of operation.

The company will offer three options to corporates and high net worth individuals: 1) Fractional ownership in the fleet with an assured flying time for a year; 2) A pre-paid card of 25 hours of flying without ownership; and 3) Manage your aircraft for you.

R K Krishna Kumar, vice chairman, Tata Group, said: "BJETS will set a new standard in the way we fly and do business in Asia.. This will further underline the luxury experience which the Taj is known for."