The fourth extension for interested bidders has been given, “as per the requests received from the interested bidders in view of the prevailing situation arising out of COVID-19,” the department of investment and public asset management (DIPAM) said in a statement on Tuesday.
Tata Group has said officially that it has begun due diligence on the airline and may make a formal bid.
The national carrier was put on the block by the government on January 27 while a deadline of March 31 was set. This was extended to June 30 and then to August 31.
The government wants to sell its 100% stake in the national carrier through the divestment process, sweetening the deal from earlier share of 76% as it did not find suitors. It has also reduced the debt of the loss-making airline to Rs 23,286 crore – which the buyers will have to take on – transferring the rest to Air India Assets Holding Ltd.
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- Air India to resume service to Mumbai
- Government to go ahead with Air India sale, may not retire debt
- Tata Group's interest in Air India concerning for Vistara partner Singapore Airlines
- Government considering reducing Air India's debt and delaying its disinvestment
- India weighs dropping debt condition for winning bidder of Air India
- Aviation ministry refuses equity support to Air India
11 Comments on this Story
Vivek Gupta56 days ago
Government should think of some leasing model, where the full management and control is given to a private company, where all the assets and liabilities are freezed as it is and any future loss (on account of management co.) and profit is shared.
Jagdip Vaishnav56 days ago
Govt should declare that there shall be no time limit at all for Air India bid
Sandeep Mohindra56 days ago
Even if given for free, it will start adding losses from yhe very next day as rent for stranded planes will get added.