Air India is likely to be handed over to the Tata group by the end of this week, officials said on Monday.
The government had on October 8 last year sold Air India to Talace Private Limited — a subsidiary of the Tata group’s holding company — for Rs 18,000 crore following a competitive bidding process.
A letter of Intent (LoI) was issued on October 11 to the Tata group confirming the government’s willingness to sell its 100 percent stake in the airline.
On October 25, the Centre signed the share purchase agreement (SPA) for this deal.
According to reports, the remaining formalities regarding this deal are expected to be completed in the next few days and the airline will be handed over to the Tata group by the end of this week.
As a part of the deal, the Tata group will also be handed over Air India Express and a 50 percent stake in ground handling arm Air India SATS.
Tatas had on October 8 beat the Rs 15,100-crore offer by a consortium led by SpiceJet promoter Ajay Singh and the reserve price of Rs 12,906 crore set by the government for the sale of its 100 percent stake in the loss-making carrier.