Star Air Eyes Embraer Jets in $1B Deal

Star Air, recognized as India's leading regional airline, is reportedly in advanced negotiations to acquire as many as 20 Embraer E2 aircraft. This potential deal, valued at approximately $1 billion based on list prices, signifies a substantial move for the Brazilian manufacturer within India's burgeoning aviation sector. Should an agreement be finalized, it would likely include 10 firm orders and an additional 10 options for Star Air.

The contemplated acquisition is poised to be the first of its kind for the airline, which is owned by the diversified Sanjay Ghodawat Group. Star Air currently operates a fleet of leased Embraer E145 and E175 aircraft, which will continue to fly until the new E2 jets are integrated into the fleet. Embraer's recent establishment of an office in New Delhi further underscores its commitment to the Indian market.

While discussions are ongoing, a final deal is not yet assured. This potential order would be pivotal for Star Air, enabling it to capitalize on India's ambitious plans to expand its airport infrastructure and enhance regional air connectivity. India's aviation market, already the third largest globally, is expected to see significant growth in the coming years.