After Tata Sons won the bid to acquire national carrier Air India, the group's chairman emeritus Ratan Tata on Friday tweeted a vintage photograph of the company's former chairman JRD Tata stepping down from an Air India flight.
"The Tata Group winning the bid for Air India is great news! While admittedly it will take considerable effort to rebuild Air India. It will hopefully provide a very strong market opportunity to the Tata Group's presence in the aviation industry," said Ratan Tata in a press statement.
"On an emotional note, Air India under the leadership of JRD Tata had at one time gained the reputation of being one of the most prestigious airlines in the world. Tatas will have the opportunity of regaining the image and reputation it enjoyed in earlier years. JRD Tata would have been overjoyed if he was in our midst today. We also need to recognize and thank the government for its recent policy of opening select industries to the private sector. Welcome Back Air India!" he added.
Tata Sons has won the bid for acquiring national carrier Air India for Rs 18,000 crore, the government said on Friday.
The transaction will be completed by December 2021, informed Department of Investment and Public Asset Management secretary Tuhin Kanta Pandey.
The bid was filed by Tata Sons wholly-owned subsidiary Talace Pvt Ltd.
Tata Sons were up against Spicejet promoter Ajay Singh-led consortium who had bid Rs 15,100 crore.
The total debt of Air India as of August 31 stands at Rs 61,562 crore.
Air India's reserve price was fixed after the bids were called to ensure that the bidders do not get to know about the reserve price prior to their bidding. It ensured utmost confidentiality when it comes to the reserve price.
The government will divest its 100 per cent stake in Air India, Air India Express and 50 per cent stake in ground handling company AISATS.
( With inputs from ANI )
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