“Welcome back,” posted former chairman of Tata Sons and chairman of Tata Group as the Centre on Friday announced the Tata Sons as the winning bid for debt-laden national carrier Air India, acquiring 100 percent shareholding. The salt-to-software conglomerate placed a winning bid of ₹ 18,000 crores re-acquire the airline more than half a century after it ceded control to the government.
Confirming the sam, Tuhin Kanta Pandey, secretary to the Department of Investment and Public Asset Management (DIPAM) said, “We received two financial bids on September 15…Panel of ministers cleared the winning bid. TATA is the winning bid.”
Welcome back, Air India 🛬🏠 pic.twitter.com/euIREDIzkV
— Ratan N. Tata (@RNTata2000) October 8, 2021
Regarding the employees working, Civil Aviation Secretary Rajiv Bansal stated that TATA Sons will not retrench any employee for a minimum period of one year and if retrenched after a year, they will have to be offered VRS. He also stated that the winning bidder will be provided with Gratuity and Provident Fund (PF) benefits for all the employees.
It can be noted that four bidders entered the race, with the Tatas and Ajay Singh the only ones to make it to the final stages, while a consortium led by SpiceJet’s Ajay Singh was outbid by Rs 15,100 crore. Tata Group already owns about 84% stake in AirAsia India and 51% in Vistara.