It said the bids are being evaluated and a decision is yet to be taken.
“Media reports indicate approval of financial bids by Government of India NS The disinvestment case is wrong. The Secretary, Department of Investment and Public Asset Management (DIPAM) clarified on Twitter that the media will be informed about the government’s decision, as and when it is taken.
Media reports indicating approval of financial bids by Government of India in AI disinvestment case are false… https://t.co/CrqDO3dW1D
— Secretary, DIPAM (@SecyDIPAM) 1633074226000
Earlier, Bloomberg had reported that Tatas have been selected by a government panel as the winning bidders for Air India.
Tata Group It was one of several entities that had expressed initial interest in December 2020 to buy the Maharaja. SpiceJet founder Ajay Singh was also among the bidders.
Air India has been making losses since its merger with domestic operator Indian Airlines in 2007.
Tata will now get control of 4,400 domestic and 1,800 international landing and parking slots at domestic airports as well as 900 slots at airports abroad.
Several governments have tried to sell the airline – which began life as Tata Airlines in 1932 – but those efforts either met with political opposition or lacked interest from potential buyers.
For Tata Sons, the recommendation means getting back to the assets it started almost 90 years ago.
The airline was founded by renowned industrialist and philanthropist JRD Tata, who was India’s first licensed pilot.
It originally corresponded in the 1930s between then-undivided, British-ruled India and Bombay, now known as Mumbai, Karachi.
Once it became commercial and went public in the 1940s, Air India quickly became popular among those who could afford to take to the skies.
However, with the advent of private carriers in the 1990s, and again in the mid-2000s due to the rush of low-cost, no-frills airlines, Air India lost its edge in both domestic and international markets.
Suddenly, it was not the only option to fly abroad and its reputation for impeccable service and hospitality began to decline.
Losses began to mount after it merged with state-owned domestic operator Indian Airlines in 2007, and by 2013, the country’s then civil aviation minister said privatization was the key to its survival.
(Bloomberg, with inputs from other agencies)
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