Advertisement

  • News
  • Columns
  • Interviews
  • BW Communities
  • Events
  • BW TV
  • Subscribe to Print
  • Editorial Calendar 19-20
BW Businessworld

Tata, Ajay Singh Submit Bid For Air India

The bidding process for the sale of Air India is moving towards conclusion as its known now that Tata Sons and SpiceJet promoter Ajay Singh submitted their respective bids for the Air India sale on Wednesday.

Photo Credit : Shutterstock

Air India received financial bids for its disinvestment process, a senior official in the Finance Ministry said. Tata sons, SpiceJet chairman Ajay Singh are among the bidders, news reports confirmed.

Aviation Minister Jyotiraditya Scindia had earlier made it clear that September 15 deadline for the process is fixed and will not change.

The Centre is selling 100 percent stake of Air India.

The Tata Group was among the multiple entities that had put in an initial expression of interest in December 2020 for buying Air India.

As is known that it was the Tatas who had set up Tata Airlines in 1932, which was later renamed as Air India. The Tata group operates Vistara in partnership with Singapore Airlines and AirAsia India in partnership with Malaysia's AirAsia.

Air India has a debt of Rs 43,000 crore of which ₹ 22,000 crore will also be transferred to the Air India Asset Holding Limited (AIAHL).

The government is planning to sell a 100 per cent stake Air India and its low-cost arm Air India Express. It will also sell a 50 percent stake in ground handling company Air India SATS Airport
Services Private Limited (AISATS).

Other properties which include Mumbai's Air India building and Delhi's Airlines House will also be part of the deal.

The winning bidder would also get hold of prime domestic and international parking slots running in thousands. As per reports the successful bidder could control 4,400 domestic and 1,800 international landing and parking slots at domestic airports, as well as 900 slots at airports overseas.

An attempt to auction Air India's majority stake some three years ago drew blank.


Tags assigned to this article:
air india