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    Air India buyer may be allowed to rename airline

    Story outline

    • 'Now that we are planning a complete exit from Maharaja in the second attempt to divestment, there is unlikely to be any precondition for retaining the name AI for any specific period of time like last year,' a source said
    • This is among the many deal sweeteners the government is looking at sell off AI in the second attempt
    This is among the many deal sweeteners the govt is looking at sell off AI in the second attempt.
    (This story originally appeared in on Oct 18, 2019)
    NEW DELHI: Potential buyers of Maharaja are unlikely to have any pre-condition for retaining the brand name Air India (AI) and be free to rename the airline after acquiring.

    The first attempt to sell off the debt-laden airline in March 2018 had stipulated that the successful bidder would have to retain AI brand name for a specific period, which would have been spelt out in the request for proposal.

    It had a condition that AI was to be run on an "arm's length basis" for at least three years during which it was not to be merged with any other entity and would need to maintain its identity as a separate airline - meaning that the brand would have to be retained for at least that long.

    "The first attempt to sell off AI had conditions like government retaining 24% stake. Now that we are planning a complete exit from Maharaja in the second attempt to divestment, there is unlikely to be any precondition for retaining the name AI for any specific period of time like last year. If the buyer wants to keep the well known brand, it can do that," said a source.

    This is among the many deal sweeteners the government is looking at sell off AI in the second attempt.
    (Catch all the Business News, Breaking News Events and Latest News Updates on The Economic Times.)

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    5 Comments on this Story

    Mogulaiah Gari334 days ago
    Nice
    Jagdip Vaishnav336 days ago
    First let Buyer come forward, offer appropriate amount then comes issue of Change in Brand name
    Praveer Joshi336 days ago
    In the year 1982, AI was voted the best airline in the world. The name AI still has respect but its association with the Congress govt, sank it. Once it gets associated with someone else... AIR INDIA will again start having meaning...,
    The Economic Times