Disinvestment / Government will sell 100% stake of Air India with management control, asks for bids by March 17
new Delhi. The Center on Monday released an auction document to sell 100% stake in state-run Air India. Accordingly, Air India will also sell 100% stake in its subsidiary unit Air India Express and 50% stake in joint venture Air India SATS as a strategic disinvestment. Also, the management control of the airline will also be assigned to the buyer.
Applications have been called until March 17 to join the auction process. Ernst & Young Private Limited is the payment advisor to the disinvestment process of Air India. Earlier, the government had proposed to sell a 76% stake in Air India in 2018, but no one agreed to it. In such a situation, the government has decided to sell 100% stake.
The draft of the auction was approved by the Group of Ministers on 7 January
Earlier, the Group of Ministers (GoM), headed by Home Minister Amit Shah, announced the issuance of a tender for the sale of Air India this month. Its draft was approved by the Group of Ministers on 7 January. Air India has been in loss for a long time. There was a loss (provisional) of Rs 8,556.35 crore in 2018-19. The airline has a debt of over Rs 50,000 crore.
