Air India Privatisation

Air India processes refunds worth over Rs 150 crore after privatisation

Handles 250,000 refund cases in just the first few months since Tatas took over, says eligible request lodged on website will typically be processed within 2-3 days

Govt begins sale of erstwhile national carrier Air India's 2 subsidiaries

The government has initiated the process of privatising 2 subsidiaries AIASL and AIESL of erstwhile national carrier Air India, an official said. The Department of Investment and Public Asset Management (DIPAM) has initiated investor meetings and roadshows to gauge interest in AIASL and AIESL. We will soon invite EoIs from interested bidders, the official said. A debt-laden Air India was sold to Tata Group in October last year for Rs 18,000 crore. The actual handover to Tatas happened on January 27, 2022. However, four Air India subsidiaries -- Air India Airport Services Ltd (AIASL), Air India Engineering Services Ltd (AIESL), Alliance Air Aviation Ltd (AAAL), and Hotel Corporation of India Ltd (HCI) -- and other non-core assets, painting and artefacts, besides, non-operational assets were not part of the deal. These subsidiaries and non-core assets valued at about Rs 15,000 crore have been transferred to an SPV Air India Assets Holding Ltd (AIAHL). The government had then sai

Air India Group starts vacating its offices from govt-owned properties

The Air India Group has started vacating its offices, which are currently being operated from government-owned properties, from this month, as part of its strategy to consolidate workspaces across the country. The loss-making Air India and its international budget arm Air India Express were taken over by The Tata Group on January 27 this year, after successfully winning the bid for the airline on October 8, last year. Besides these two airlines, Tata Group also holds a majority 51 per cent stake in Vistara, its joint venture airline with Singapore Airlines (SIA), and a 83.67 per cent stake in budget carrier, AirAsia India. Air India, Air India Express and AirAsia India will be housed jointly in a modern office campus in the National Capital Region by March next year, in line with this consolidation strategy, which is being undertaken to improve collaboration and more easily deploy new technology, among others, according to a statement. Air India has its largest base of staff locate

Security clearance to Air India CEO designate Wilson after background check

The Union Home Ministry is examining the application to give security clearance to Air India Chief Executive Officer designate Campbell Wilson and the nod will be given after background check

Air India writes to AIASL over continued deterioration of ground services

An Air India's top official wrote a letter to Air India Assets Holding Limited over the continued deterioration of ground handling services by Air India Airport Services Limited (AIASL)

Tata group's Air India takeover worries Singapore's antitrust body

Says move could limit competition on India-Singapore routes

Aviation Ministry's role doesn't end with Air India: Jyotiraditya Scindia

In a Q&A, the aviation minister says he believes govt shouldn't be in the business of running airlines and must develop the ecosystem of civil aviation instead

Win-win deal: Why Air India privatisation has drawn little to no criticism

That such a deal can be greeted with celebration in the camps of both buyer and seller speaks volumes about the airline and its recent history, writes T N Ninan

Top headlines: Air India returns to Tatas; PMC Bank resolution moves ahead

Government seeks India-specific standards for 5G spectrum in telecom. More on that story in our top headlines.

Top headlines: Tata group to take over Air India, Fed flags rate hike

The government is likely to put several non-strategic public sector undertakings on the block next year. More on that in top headlines.

Air India pilots warn legal action on dues two days before Tata handover

The development comes two days before the handover of the airline to Tata group

Privatisation: Changing tracks aided Air India, derailed BPCL sale

Changing tracks helps. But, not taking the beaten path isn't always helpful. This is the story of two of India's biggest privatisations - Air India and Bharat Petroleum (BPCL). Nearly two decades after the last privatisation, a landmark divestment concluded this year when the loss-making national carrier Air India was sold to the Tatas. This was made possible only after the government changed the track from selling 76 per cent of its stake in the national carrier to putting on block its entire 100 per cent holding as well as giving bidders an option of deciding how much debt they were willing to take over. But in the case of BPCL, the government ignored suggestions of following its time-tested policy of putting on block 26 per cent stake along with management control, just like it had done in the case of Hindustan Zinc and Balco. Instead, it offered its entire 52.98 per cent in the company operating in a sunset sector. The result - just three bids came in, and two of them struggled

Govt departments, autonomous bodies owe over Rs 244 cr to Air India

Government departments and autonomous bodies have dues of more than Rs 244 crore to Air India, of which a little over Rs 30 crore has been recovered, the government said in Parliament on Monday. "Government departments/autonomous bodies owe Air India Rs 244.78 crore as on September 30, 2021. Out of this, Rs 30.38 crore has been recovered as on November 30, 2021," Minister of State for Finance Bhagwat Karad said in a written reply in the Lok Sabha. He was responding to a set of questions raised by several MPs regarding sale of Air India to Tata group. Karad said there was a huge accumulated debt on Air India, following which the government took an enterprise value (EV) bidding approach for strategic divestment of Air India and its identified subsidiaries and joint ventures. "The strategic disinvestment transaction has been carried out for the entire company as a going concern. Assets other than non-core assets and liabilities other than those excluded from the transaction will remai

'Govt making all efforts to complete AI disinvestment process by Dec-end'

The government is making all efforts to complete the disinvestment process of national carrier Air India by the end of December, according to a senior official. Tata group firm Talace Pvt Ltd has emerged as the winning bidder for loss-making Air India. On October 25, the government signed the share purchase agreement with Tata Sons for the sale of the airline for Rs 18,000 crore. The amount includes payment of Rs 2,700 crore in cash and take over Rs 15,300 crore of the carrier's debt. Along with Air India, Tatas will acquire low-cost carrier Air India Express and Air India's 50 per cent stake in equal joint venture AISATS. On Wednesday, Civil Aviation Secretary Rajiv Bansal said all efforts are being made to complete the disinvestment process of Air India by the end of December. Bansal is also the Chairman and Managing Director of the national carrier. Air India has been incurring a monthly loss of more than Rs 600 crore, he noted. The airline has 43 wide-body planes, including 2

Pilots seek settlement of outstanding dues pre-handover of Air India

The Indian Pilots Guild (IPG) has written to the Chairman and Managing Director of Air India for settling all outstanding dues with employees pre hand-over.

Ministries, PSUs, govt depts owe more than Rs 600 crore to Air India

Airline is owed Rs 1,500 crore for tickets: mainly for flying VVIPs, ministers, foreign dignitaries and evacuation operations.

Govt signs share purchase agreement with Tata Sons for Rs 18,000-cr AI deal

The government on Monday signed a share purchase agreement with Tata Sons for sale of national carrier Air India for Rs 18,000 crore

BPCL privatisation faces bigger obstacles than Air India sale. Here's why

BPCL privatisation faces bigger obstacles than Air India sale. Here's why

Temper expectations from privatisation trade, say analysts

The brokerage says listed PSUs face several challenges and continued government ownership may weigh on their performance

After AI, govt to disinvest BPCL, float LIC IPO by last quarter of FY22

Following the successful completion of Air India disinvestment, govt expects to carry out the divestment of BPCL in the current financial year