Temasek Backs Singapore Airlines’ Air India Investment

Singapore state investor Temasek has backed Singapore Airlines’ investment in Air India as scrutiny grows over the Indian carrier’s financial position. Singapore Airlines owns 25.1% of Air India, while the remaining stake is held by Tata Sons.

The support comes after Air India sought around $1.5 billion in fresh equity from its owners to strengthen its finances. Temasek said it views the investment from a long-term perspective, noting that Air India’s transformation involves complex, multi-year operational and integration challenges.

Air India and Air India Express reported combined losses of around $2.33 billion for the year ended March. The airline has also faced challenges including airspace restrictions, geopolitical disruptions and the fallout from a crash last year, increasing pressure on its owners as the carrier continues its restructuring.

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