Advertisement
Monday, Dec 05, 2022
Outlook.com
Outlook.com

Tata Group Buys Air India For ₹18,000 Crore

The announcement was made by the secretaries of DIPAM and the ministry of civil aviation.

Tata Group Buys Air India For ₹18,000 Crore
Representational Image | PTI
Tata Group Buys Air India For ₹18,000 Crore
outlookindia.com
2021-10-08T20:04:56+05:30

The government Friday announced Tata Sons emerged as the winning bidder for Air India. The announcement was made by the secretaries of DIPAM and the ministry of civil aviation. DIPAM is the department that looks into the disinvestment of government assets and holdings. 

It was further informed that the transaction is expected to close by December 2021.

Chairman Emeritus of Tata Sons, Ratan Tata tweeted about the development. He said, "Welcome back, Air India". 

Other important highlights: 


1. Air India's total debt as of August 31, 2021, stands at 61,562 crores. The winning bidder would take over Rs 15,300 crore of the debt. 

2. Reserve price for bid was fixed at Rs 12, 906 crore

3. Current losses of Rs 20 crore per day will now be Tata Group's financial consideration

4. All government benefits provided accrued to current employees will continue for one year

5. Eight logos or brand names of Air India cannot be transferred in the next 5 years. No transfer allowed to any foreign entity even after expiry of 5 years

6. Business continuity clause would exist for three years. Winning bidder being given complete operational freedom.

7. Air India has 12,085 employees in total and 8,084 permanent employees

8. Restriction for government-employees to compulsorily travel in Air India to be taken away

(This is a breaking story. More details to follow)

Advertisement

Outlook Newsletters

Advertisement
Advertisement
Advertisement

Read More from Outlook

Lament Of Separation: Songs Of Habba Khatun, Last Queen Of Kashmir, Still Echo In Valley

Lament Of Separation: Songs Of Habba Khatun, Last Queen Of Kashmir, Still Echo In Valley

In happy times and sad, Habba Khatun’s sensuous songs make both young and old emotional. With the never-ending conflict bringing tragedies to every doorstep, Habba’s lyrics of separation amplify their mourning.

How Indian Laws Govern People’s Right To Love And Live

How Indian Laws Govern People’s Right To Love And Live

In India, only those relationships between a man and a woman are considered to be legitimate when there is a marriage between the two.

Kohli Quits Test Captaincy, Leaves Leadership Vacuum

Kohli Quits Test Captaincy, Leaves Leadership Vacuum

Virat Kohli, 33, had recently stepped down as India's T20I captain and was subsequently removed as the ODI captain.

UP Elections 2022: How Congress Is Harnessing Power Of 'Persecuted' Women To Counter BJP

UP Elections 2022: How Congress Is Harnessing Power Of 'Persecuted' Women To Counter BJP

A Mahila Congress leader, who is the face of the ‘Ladki Hoon, Lad Sakti Hoon’ campaign, however, has accused the party of anti-women bias after she was denied a ticket.

Advertisement