Air India To Be Handed Over To Tata Group By January 27: Reports

New Delhi: Debt-laden Air India will be handed over to the Tata Group by January 27, said a top official.

According to a report by moneycontrol, it is expected that the remaining formalities of this deal would be completed in the next few days.

The report further quoted Vinod Hejmadi, Director-Finance of the company as saying that today the balance sheet will be closed so that Tata can review it. Now if there is any change, it can be done on Wednesday 26 January.

Notably, on October 8 last year, the Tata Group won the Air India's bid after which this Air India was sold to Talace Private Limited. The deal was done for Rs 18,000 crore.

The Tata Sons had regained its ownership by making the highest bid for the sale of debt-ridden struggling national carrier Air India which the company founded almost 90 years ago.

During the auction process, Tata Sons' unit Talace Pvt Ltd won the deal by making the highest bid of Rs 18,000 crore. The deal was expected to be completed by the end of December this year.

This was earlier known as Tata Airlines started by JRD Tata in 1932 after the nationalization of aviation services. After independence, its name was changed to Air India. After 68 years, the news of the airlines once again coming into the hands of Tata Sons became viral on social media.

Taking to micro-blogging site Twitter, the Tata Group Chairman Ratan Tata had tweeted, ''Welcome back, Air India.''

Meanwhile, when the news spread, on Twitter, people started congratulating Tata Group Chairman Ratan Tata. At the same time, memes were also fiercely shared. Congratulating him, one user wrote that Air India is now in safe hands.

Notably, the group is already operating two airlines such as Vistara and Air Asia. Vistara is a joint venture with Singapore Airlines, while in Air Asia, the Tata group holds a majority stake.

After getting ahold of Air India, the Tata group has become the second-largest domestic airline after Indigo.

Reportedly, the government has put Rs 54,584 crore as cash support in Air India since 2009-10. Apart from this, Rs 55,692 crore has been put as guarantee support. With this, the government has put a total of Rs 1,10,276 crore in Air India since 2009-10.

Air India had a debt of Rs 61,562 crore as of 31 August 2021. Winning bidder Tata Sons will bear the debt of Rs 15,300 crore. After this, Air India will have a debt of Rs 46,262 crore.

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