Star Air, India's leading regional carrier and part of the Sanjay Ghodawat Group, has announced the successful completion of the first phase of its ambitious Series B funding round. The airline has raised Rs 150 crore from a prominent consortium of investors, marking a significant milestone in its growth trajectory.
Investment Consortium and Future Fundraising Plans
The funding round saw participation from several marquee investors, including Micro labs and Deepak Agarwal of Bikaji foods, among other notable participants. This initial tranche represents part of a larger Rs 350 crore Series B funding initiative, with the airline planning to raise an additional Rs 200 crore by the fiscal year 2026-27.
This strategic fundraising aligns with Star Air's comprehensive flight plan to expand its operations significantly over the coming years. The company has set an ambitious target of operating 50 aircraft by 2030, a substantial increase from its current fleet size.
Capital Deployment and Strategic Expansion
The newly acquired capital will be strategically deployed across multiple aspects of the airline's operations. According to the company's official statement, the funds will primarily support fleet expansion and route network development. Additionally, the airline plans to strengthen its NSOP (non-scheduled operator permit) operations and enhance its maintenance, repair and overhaul (MRO) capabilities.
Shrenik Ghodawat, Managing Director of Sanjay Ghodawat Group, expressed enthusiasm about the development, stating: "This fundraise brings us closer to our vision of building a comprehensive aviation platform spanning airline operations, NSOP services, MRO facilities, cargo and aviation training. Our immediate goal is to connect more cities and communities across India with swift, secure, comfortable, and affordable air travel."
Operational Excellence and Customer Experience
Captain Simran Singh, CEO of Star Air, emphasized the strategic importance of this funding round for the airline's operational backbone. "This fundraise marks a major step toward strengthening Star Air's operational backbone. It will enable us to accelerate fleet expansion, enhance route efficiency, and further invest in NSOP and MRO capabilities," he stated.
The CEO further added: "As we progress toward our 50-aircraft goal by 2030, our focus remains on maintaining operational excellence, safety and delivering a seamless experience for our customers."
Founded in 2019, Star Air has established itself as a significant player in India's regional aviation sector. The airline currently operates a diverse fleet comprising Embraer E145 and E175 aircraft along with four Airbus Helicopters. With its current fleet of 11 Embraer aircraft, the airline connects 31 destinations across India, serving communities that were previously underserved by air connectivity.
