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The government issued the preliminary information memorandum for 100 per cent stake sale in national carrier Air India.
As part of the strategic disinvestment, Air India would also sell 100 per cent stake in low cost airline Air India Express and 50 per cent shareholding in joint venture AISATS, as per the bid document issued .
Management control of the airline would also be transferred to the successful bidder.
The government has set March 17 as the deadline for submitting the Expression of Interest.
In 2018, India had tried to sell a 76% stake in Air India and offload about $5.1 billion of its debt, terms that potential buyers at the time viewed as too onerous.
EY is the transaction adviser for Air India disinvestment process.
Reacting to the government move, senior Congress leader Kapil Sibal told ANI : ” When governments don’t have money this is what they do. Govt of India has no money, growth is less than 5% & millions of rupees outstanding under MNREGA. This is what they will do, sell all the valuable assets we have”.
Meanwhile, BJP leader and Rajya Sabha MP Subramanian Swamy said that disinvestment of Air India is “anti-national” and he will move Court against it.
“Air India disinvestment process restarts today. THIS DEAL IS WHOLLY ANTI NATIONAL and I WILL FORCED TO GO TO COURT. WE CANNOT SELL OUR FAMILY SILVER,” tweeted Swamy.
Air India disinvestment process restarts today https://t.co/72eklh9C3g: THIS DEAL IS WHOLLY ANTI NATIONAL and IWILL FORCED TO GO TO COURT. WE CANNOT SELL OUR FAMILY SILVER
— Subramanian Swamy (@Swamy39) January 27, 2020
