Bids could be opened as early as Wednesday, a source involved in the bidding process said, though this could not be independently confirmed.
ET had earlier reported that the financial bids would be opened by the month-end.
Sources indicate that by mid-October, the government would be in a position to announce the winning bidder.
The two bidders, Tata Group and
‘s Ajay Singh, were not available for comment. The government, which called bids for a 100% stake in Air India, Air India Express and 50% in ground handling company AISATS, has received bids from the Tata Group and Ajay Singh in his personal capacity.
The sale of Air India is a key component of Modi government’s privatisation programme and is being monitored by an Amit Shah-led ministerial committee.
This is the second attempt by the government to divest a stake in Air India. An earlier attempt in 2018 to sell 76% in the airline did not find any takers because the government had planned to retain 26% stake even after privatising the national carrier.
As part of the current proposal, Air India will be transferred to the private owner with a debt of ₹23,000 crore. The proposal envisages transferring the remaining debt to the government-owned Air India Asset Holdings Ltd (AIAHL) – a new company that will house the carrier’s assets, such as the Air India building in Mumbai, Airlines House in Delhi, a 4-acre plot in Delhi’s Connaught Place, and properties in housing societies in Delhi, Mumbai and other cities.
