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Air India bidding: Life comes full circle for Tatas


                                                                                                                       Image The economic times 

Life has come full circle for the Tatas. What was started by JRD Tata is now being completed by Ratan Tata.

A homecoming of sorts, the airline founded by JRD Tata, India’s first licensed pilot who piloted Air India’s (then Tata Airlines) first flight in 1932, will now be operated by the Tatas once again, according to sources.

The government will divest its 100 per cent stake in Air India, and sources have told India Today that the disinvestment will be complete by December this year.

Air India’s reserve price was likely to be in the range of Rs 15,000-20,000 crore.

A panel of ministers has accepted the proposal.

However, the Department of Investment and Public Asset Management (DIPAM) Secretary tweeted, "Media reports indicating approval of financial bids by Government of India in the AI disinvestment case are incorrect. Media will be informed of the Government decision as and when it is taken."

Experts say this handover will be a victory for Prime Minister Narendra Modi, who has embarked on a bold privatization plan to plug a widening budget deficit.

This deal will also save the government crores of rupees and end a decades-long struggle to offload the money-losing carrier

Source Indiatoday 

 


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