English
Air India Disinvestment: Putting and end to the long wait, Tata Sons finally won the bid to acquire Air India for Rs 18,000 crore. Addressing a press conference to make the announcement, Department of Investment and Public Asset Management (DIPAM) secretary Tuhin Kanta Pandey said the Central government will get Rs 2,700 crore cash from Tatas for sale of its 100 per cent stake.
On Friday, Tata Sons emerged as successful bidder to won Air India, Tuhin Kanta Pandey said and added that Tatas’ bid of Rs 18,000 crore comprises taking over of Rs 15,300 crore of debt and paying the rest in cash.
He added that both the bidders had quoted above the reserve price and the transaction is planned to be closed by December.
Talace Pvt Ltd of Tata Sons is the winning bidder at Rs 18,000 crores. The transaction is expected to close by the end of December 2021, says Tuhin Kant Pandey, Secretary, DIPAM pic.twitter.com/SvSKj3pVNw
— ANI (@ANI) October 8, 2021
Giving further details, he said that a group of ministers comprising Home Minister Amit Shah, Finance Minister Nirmala Sitharaman, Commerce Minister Piyush Goyal and Civil Aviation Minister Jyotiraditya Scindia has cleared the winning bid for Air India on October 4.
It must be noted that Jehangir Ratanji Dadabhoy (JRD) Tata founded the airline in 1932 and it was named as Tata Airlines. However, in 1946, the aviation division of Tata Sons was listed as Air India and in 1948, Air India International was launched with flights to Europe.
The international service was among the first public-private partnerships in India, with the government holding 49 per cent, the Tatas keeping 25 per cent and the public owning the rest. In 1953, Air India was nationalised.
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