Russian President Vladimir Putin has signed an order establishing a new airline that is to be the country’s sec- ond biggest after Aeroflot, the Kremlin said.

The president’s order will see Russian regional airlines KrasAir, Domodedovo, Samara, Omskavia and Sibaviatrans merged into AirUnion within six months, the Kremlin said in a statement. The government will own a share of ‘at least’ 45 percent of the new company, it added.

AirUnion will also be designated as a strategic enterprise, which entails strict limits on foreign involvement and a minimum amount of government control.

The move comes as Russia tries to modernise both its many regional airlines as well as the country’s once-prolific aircraft production industry.