Tata Sons outbid a consortium led by SpiceJet’s CMD Ajay Singh, who had bid Rs 15,100 crore to acquire Air India. The Tata Group’s wholly-owned subsidiary Talace Pvt. Ltd. put an enterprise value bid of Rs 18,000 crore, with debt to be retained at Rs 15,300 crore.
This writer, though, had no doubt that Tata Sons would be the new incumbent-owner of Air India. The decision process already had the approval of the special panel led by Union Home Minister Amit Shah and needed ratification by the Union Cabinet. In the Air India disinvestment deal, the winner not only gets 100 per cent stake in Air India but also 100 per cent of Air India Express and 50 per cent of Air India SATS Airport Services. The Tatas already have an airline joint venture (JV) with Singapore Airlines – Vistara, as well as AirAsia India (the erstwhile JV with AirAsia for a low-cost carrier business).
The Tatas were also the potential bidders when the Government of India (GoI) ran a process to sell its stake in Air India in 2001 and 2017. A key difference this time around was the focus on a quicker deal closure and on making the transaction fructify.
Home Coming or Sweet Revenge?
This story is from the September 13, 2021 edition of Businessworld.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the September 13, 2021 edition of Businessworld.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
The Astrology Cryptocurrency Of In New Financial Year
Whether you're a seasoned investment enthusiast or just starting out on your financial journey, Vedic astrology can be beneficial, especially in markets as volatile as the crypto sphere
KRISHNA CONSCIOUSNESS
The reader can almost feel that the mortal journey of Krishna has ended, yet Krishna Consciousness has manifested again as Keshav. Krishna-the Seventh Sense reveals the continuity of existence, notwithstanding the limitation of the one who exists. This book is a treasure
Recreating The Maruti Moment In EVs
SAJJAN JINDAL on the joint venture with MG Motor, electric mobility, charging infrastructure and more
Sustainable Models of Support for Women Entrepreneurs in India
Personal one-on-one mentorship is a key intervention that is most required amongst MSMEs and young startup founders today
ELEVATED ROAD TO SUCCESS
Honda Cars India is exporting 'Made in India' cars back to Japan showcasing India as a strong manufacturing hub for Honda sedans and SUVs. What is its game plan?
HOW HINDUJA GROUP'S BID TO ACQUIRE RELIANCE CAPITAL VIOLATES INDIA'S FDI, INSURANCE NORMS
The bid structure has come into question with the insurance regulator pointing out that it not just allows Hinduja Group-backed foreign entities to own 100 per cent in Reliance Capital’s insurance business but also lets them bid on borrowed money in total disregard of Indian laws and norms
Taking Astrology To The Masses
Driven by profound fascination and belief in the cosmic intricacies, Rajeev Bhandari, Founder, AstroSagga is on a mission to offer affordable courses to fuel employment in astrology sector
"My Mission Is To Make Temples Across India Better"
Sharad Kamath, Founder and CEO, 3ioNetra identified the need fora comprehensive software solution to address the complex billing and accounting needs of temples based on his experiences as avolunteer and organiser at religious functions
A Conduit Between Spiritual and Tech Realms
In November 2023, Vama secured a Seed Plus round led by Wavemaker Partners, bringing its total funding to USS 2.8 million
"AI Will Catalyse Hockey Stick Growth Of Astro Sector In India"
The current faithtech landscape in India leans heavily towards entertainment, says Punit Pandey, Founder, AstroSage and believes the key lies in shifting the revenue model from entertainment to trust