Tata Sons selected as winning bidder for Air India: Report
NEW DELHI: The government has accepted a proposal recommending Tata Group’s bid for debt-laden state-run airline Air India, Bloomberg News reported.
Tatas were among the frontrunners to buy the carrier and had submitted their bid last month. SpiceJet founder Ajay Singh was also among the bidders.
The government will divest its 100 per cent stake in Air India, Air India Express and 50 per cent stake in ground handling company (AISATS).
Union finance minister Nirmala Sitharaman, commerce minister Piyush Goyal and aviation minister Jyotiraditya Scindia were among the members of the committee that evaluated the bids.
According to sources, Air India’s reserve price was likely to be in the range of Rs 15,000-20,000 crore.
Air India, originally called Tata Airlines, was established in 1932 by the legendary industrialist and philanthropist JRD Tata, who was also India’s first licensed pilot.
It was nationalized around the time of India’s independence in 1947
Tatas will now get control of 4,400 domestic and 1,800 international landing and parking slots at domestic airports, as ws well as 900 slots at airports overseas.