Govt to sell 76% stake in Air India, give up management control

Mamata ‘strongly against sale of national jewel’

The Government on Wednesday unveiled plans to sell up to 76 per cent stake in Air India and transfer management control to private players, starting the ambitious strategic disinvestment process for the debt-laden national carrier. Coming out with a detailed preliminary information memorandum on the stake sale, the Civil Aviation Ministry said the proposed disinvestment would include profit-making Air India Express and joint venture AIATSL. The latter is an equal joint venture between the national carrier and Singapore-based SATS Ltd.

While the Government would retain 24 per cent stake in the national carrier, the winning bidder would be required to stay invested in the airline for at least three years. Starting off the disinvestment exercise — a major initiative of the NDA Government — Expressions of Interest (Eois) have been sought from various entities, including foreign airlines. The last date for submission of EOI is May 14 and intimation to the qualified interest bidders would be made on May 28.

Meanwhile, West Bengal Chief Minister Mamata Banerjee on Wednesday strongly opposed the Centre’s AI stake sale plan and demanded an immediate withdrawal of the order. “I am sorry to read in the media about the Govt inviting expression of interest for selling Air India, the jewel of our nation. We strongly oppose this and want this order to be withdrawn immediately,” Banerjee said in a Twitter post. She said the Bjp-led Centre was trying to sell the country. “This Govt must not be allowed to sell our country,” she said.

Bidding can be done as a single player or as part of a consortium.