Wadia Group-promoted Go Airlines India Limited, which operates the low-fare airline service GoAir, is gearing up for an IPO (initial public offering) of Rs. 3,000 Cr, since investors have turned bullish on airline stocks. The Go Airlines has appointed Kotak Mahindra Capital and Axis Capital to manage the IPO.
Go-Air operates with a fleet of 19 Airbus A-320 and 3 numbers Airbus A-320 neo aircraft. It also adding new fuel-efficient aircraft to make the airlines more cost-effective.
Most Indian airlines have been announcing profits for the last two financial years as lower fuel prices, which account for about half of their operating costs. GoAir registered profit of nearly Rs. 166.00 Cr, in 2015 -16, as per aviation consulting company CAPA. In 2014 – 15, fiscal, GoAirlines reported a profit of Rs. 218.00 Cr, on operating revenue of Rs. 3,066.00.