Air India disinvestment: Govt eyes stake sale, launches road show in Mumbai
Air India disinvestment: Govt eyes stake sale, launches road show in Mumbai
Air India disinvestment: The government is eyeing potential buyers for state-run Air India and in this regard, the government today launched a road show in Mumbai. A Civil Aviation Ministry official said that through this road show the government will highlight the financial conditions and strengths of the airline to the potential investors. The government is accelerating the disinvestment process, the source revealed. Air India Chairman and Managing Director Ashwani Lohani gave a presentation on Air India through this road show.
This is the second time the Narendra Modi-led National Democratic Alliance (NDA) government is trying to divest the national carrier. This is the first road show in the effort to sell Air India. According to sources, the government may invite Expression of Interest (EOI) for Air India in November. The government aims to complete the disinvestment of the national carrier in the current financial year itself, the source said.
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This time, the government may show some select accounts to potential buyers during the negotiation process. There will be meeting on alternative mechanism for Air India disinvestment in November before inviting EOI.
Air India is suffering from a huge debt burden. The government is trying divest the airline to pare debt. Earlier too, the government tried to sell the airline, but the attempt was unsuccessful. According to figure given by Civil Aviation Minister Hardeep Singh Puri in Parliament in June, Air India debt stands at Rs 58,351 crore.
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