New Delhi: Air India will be handed over to the Tata Group this week with the government deciding to disinvest it on January 27.
“The closing balance sheet as on January 20 is to be provided on Monday so that it can be reviewed by Tata and any changes can be made on Wednesday,” Director Finance, Air India, Vinod Hejmadi, informed the employee through an email.
“The next three days will be hectic for our department and I request all of you to give your best in these last three-four days before we get divested. We may have to work late in the night to complete the task given to us. I seek the cooperation of one and all,” it further read.
Quoting government officials, a Business Standard report said that the remaining formalities regarding this deal are expected to be completed in the next few days.
With this, the reins of Maharaja will be back with the company. The Tatas had started Air India as Tata Airlines in 1932 and sold it to the government in 1953.
The Tata Group will also be handed over Air India Express and a 50 percent stake in ground handling arm Air India SATS as a part of the deal.
The government had sold 100 per cent stake in the loss-making carrier to Talace Private Limited, a subsidiary of the Tata group’s holding company, for Rs 18,000 crore after the competitive bidding on October 8, 2021.
It accepted its offer to pay Rs 2,700 crore cash and take over Rs 15,300 crore of the airline’s debt and issued a Letter of Intent to the company on October 11.
Air India will be the third airline brand in the Tatas’ stable, which holds a majority interest in AirAsia India and Vistara, a joint venture with Singapore Airlines Ltd.
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