As per reports, the Tata Group, India’s largest conglomerate, has filed for an Expression of Interest for Air India.
Moreover, a group of 200 employees are to file for the same, the deadline for which is Monday, December 14, at around 5 PM. In addition, the group claims to have financial investors on board. Ajay Singh of SpiceJet is eyeing Air India but the domestic carrier refused to comment on the same, according to sources.
The government, back in 2018, failed to sell a majority stake in Air India due to absence of suitors. On the other hand, the Tata’s started two airlines in 2013, viz. Air Asia in partnership with Malaysia's Air Asia and Vistara along with Singapore Airlines.
Meanwhile, Aviation minister Hardeep Singh Puri, who had stated last year that Air India would have to be shut down if not privatized, stated that this happens to be a confidential procedure and he would only comment regarding the same at an appropriate time.
According to sources, the Central Government has been searching for potential investors in the ailing Air India for quite some time now. Earlier this year, the government invited expressions of interest in the sale of a stake in the national airline. However, since the outbreak of the coronavirus, those plans were paused for a while.
Moreover, the Government had resumed the process again in view of the situation and extended the deadline for the submission of expressions of interest by an additional two months to October 30, 2020. The government noted that qualified bidders will be intimated by November, 20.
In recent developments, it has been notified that 209 employees of Air India have submitted an Expression of Interest to takeover 51 per cent stake in the airline. However, rules mandate that employees cannot partner with a private company. Therefore, has to be backed by a bank or a financial institution.
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