Tata Group has officially taken over Air India from the Government today. The strategic disinvestment transaction of Air India successfully concluded with the transfer of 100 per cent shares of Air India to Talace Pvt Ltd along with management control.
Tata Sons Chairman N Chandrasekaran said.”We are totally delighted to have Air India back at the Tata Group and are committed to making this a world-class airline.” Chandrasekaran also met Prime Minister Narendra Modi ahead of the official handover.
“The strategic disinvestment transaction of Air India successfully concluded today with transfer of 100 per cent shares of Air India to Talace Pvt Ltd along with management control. A new Board, led by the Strategic Partner, takes charge of Air India,” informed Tuhin Kanta Pandey, Secretary, Department of Investment and Public Asset Management (DIPAM).
Tata Sons have paid Rs. 2,700 crore in cash for the airline, along with taking on a debt of Rs. 15,300 crore. Of the total debt and liabilities of Air India of Rs. 77,396 crore, the government will absorb Rs. 62,096 crore. Some non-core assets of Air India with a book value of Rs. 15,834 crore will also remain with the government.
Tatas will get Air India’s fleet of 141 planes, along with ownership of iconic Brands like Air India, Indian Airlines & the Maharajah. As many as 13,500 permanent and contractual employees will also move to the Tata fold and have to be retained at least for one year.
