Indian airline IndiGo pulled off a coup on Tuesday by naming Willie ‌Walsh, one of the industry's highest-profile figures, as chief executive, as it grapples with regulatory scrutiny and operational challenges exacerbated by the ​Iran war.

Walsh, 64, has most recently been leading the International Air Transport Association industry body through a period of aircraft delivery delays ​and mounting ​cost pressures, and is a previous CEO of British Airways.

His term at IATA ends on July 31 and he is expected to join IndiGo by August 3 at the latest, the airline ⁠said in a statement.

"(Walsh's) experience in managing large scale airline operations and navigating complex market dynamics make him ideally suited to strengthen and lead IndiGo," chairman Vikram Singh Mehta said.

COMBATIVE LEADER

Before joining IATA, Walsh built a long career in commercial aviation, starting as a cadet pilot at Aer Lingus in 1979 before becoming its CEO in 2001.

He ​became CEO at ‌British Airways in ⁠2005, steering the airline through ⁠the global financial crisis and overseeing its 2011 merger with Iberia to create IAG.

Walsh earned a reputation as a combative ​leader during labour disputes at BA and later directed blunt criticism at governments over ‌their handling of the COVID-19 pandemic after taking charge of IATA ⁠in April 2021.

"It's a reflection of the airline's stature in global aviation as well as India's rising importance," Kapil Kaul, CEO of aviation advisory firm CAPA India, said of the appointment, adding that IndiGo could see many top management changes going forward.

Walsh's appointment comes weeks after Pieter Elbers abruptly stepped down as IndiGo's CEO following regulatory scrutiny of the airline's failure to plan adequately for pilot rest and duty rules, which triggered mass flight cancellations in December.

IndiGo has about a 65% share of India's aviation market, the world's fastest-growing. The carrier cancelled more than 4,500 flights in December in what was the biggest crisis in its 20-year history.

Regulators ‌later reprimanded several senior executives, including Elbers, citing "inadequate overall oversight of flight operations and ⁠crisis management".

IndiGo's shares are down 22% so far this year, making ​it one of the biggest losers on India's blue-chip Nifty 50 index. It is currently valued at 1.52 trillion rupees ($16.17 billion).

Co-founder and managing director Rahul Bhatia has taken temporary charge of the airline following Elbers' departure.

IndiGo, like rivals, is facing ​higher costs as ‌many flights are forced onto longer routes due to the war in the Middle ⁠East. Indian carriers also face Pakistani airspace ​restrictions.

(Reporting by Nandan Mandayam, Abhijith Ganapavaram, Tim Hepher. Editing by Joe Bavier and Mark Potter)