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Govt signs agreement with Tata sons for Air India sale
October 26, 2021
The government on Monday signed the share purchase arrangement with Tata Sons for the offer of national carrier Air India for ₹18,000 crore. Recently, the public authority had acknowledged a proposal by Talace Pvt Ltd, a unit of the holding organization of the salt-to-programming aggregate, to pay ₹2,700 crore money and assume control over ₹15,300 crore of the aircraft’s obligation.
Following that, on October 11 a Letter of Intenet (LoI) was given to the Tata Group affirming the public authority’s ability to sell its 100% stake in the aircraft. “Offer Purchase Agreement marked today by Government with Tata Sons for key disinvestment of Air India,” Department of Investment and Public Asset Management (DIPAM) Secretary Tuhin Kanta Pandey tweeted.
Air India Director Finance Vinod Hejmadi, Civil Aviation Ministry Joint Secretary Satyendra Mishra and Supraprakash Mukhopadhyay from the Tata Group signed the share purchase agreement (SPA).
Presently, different administrative clearances, including from the Competition Commission of India (CCI), would need to be taken by Tata Sons before the real handover of the carrier happens by December-end. The government is divesting its 100% responsibility for India and Air India Express alongside its 50% stake in ground-handling company AISATS.
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