Control over the management of the airline will be transferred to the successful bidder.
One reason for the failure was that the government was unwilling to fully exit the airline, looking to sell only 76 percent stake.
Potential bidders for Air India will have access to draft share purchase agreement and all records of the airline in the initial stage of the disinvestment process itself, according to a bid document. He had said that rumors about the company's closure are completely baseless. Moreover, the airline, which is dependent on government largesse to run its operations, needs a new owner to keep flying.
On Monday, the government issued the preliminary information memorandum for 100 percent stake sale in Air India.
SuitorsThe Tata Group has a natural interest in Air India, which started off as Tata Air Services in 1932.
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Instead, he said the friendly Trump administration was providing Israel a once-in-a-lifetime opportunity that must be seized. Shtayyeh also said Trump and Netanyahu were using the announcement of the plan as a distraction from their domestic woes.
In 2019, Air India, which carried a total of over 18.36 million passengers within India, had a significant 12.7 percent market share in the country, data from the Directorate General of Civil Aviation had revealed earlier.
"We have gone into this exercise, months of planning and preparation have gone into it and this is not the final, final". At ₹63,113 crore, the amount works out to be three-fourth of the accumulated debt of the two entities, bulk of which is with Air India.
It would also get 100% of low-priced arm Air India Express and 50% of AISATS, which provides cargo and ground handling services at major Indian airports, the bid document showed. Additionally, AI had also employed contract and casual employees.
Air India has about 9,400 permanent employees and 3,600 fixed-term contract staff - including 1,850 pilots and 4,600 cabin crew - with benefits such as discounted air tickets and pensions. They will not be included in the sale. The government released the bidding documents on Monday.
A spokesman for the employee union did not have immediate comment.
Bharatiya Janata Party's (BJP) firebrand leader Subramanian Swamy has also criticised the deal, calling it anti-national.