Tata Sons wins Air India Bid for Rs 18,000 Crore
Tata Sons' winning bid is higher than reserve price of Rs 12,906 crore set by the Government of India and comprised of Rs 15,300 crore debt.
Insight Bureau: After a gap of 68 years, Tata Sons have won the bid to acquire debt-laden national carrier Air India offering Rs 18,000 crore for acquiring 100% shareholding on Friday.
Tata Sons’ winning bid is higher than reserve price of Rs 12,906 crore set by the Government of India and comprised of Rs 15,300 crore debt.
Apart from 100% stake in Air India and its low-cost arm, Air India Express, the winning bid also includes a 50% stake in ground-handling company Air India SATS Airport Services Private Limited (AISATS).
Support Independent Journalism? Keep us live.
Tata’s special purpose vehicle (SPV) Talace Pvt Limited emerged as the winning bidder, Department of Investment and Public Asset Management (DIPAM) Secretary Tuhin Kanta Pandey said.
As per the guidelines:
➡️ Tata Sons can’t transfer Air India brand, logo for 5 years; can transfer to only Indian person after 5 years
➡️ Tatas will have to retain all employees of Air India for 1 year; can offer VRS in 2nd year
Comments are closed.