Air India- Acquired by Tata in 18000 Cr

Air India was started by the Tata Group in 1932, but in 1947, as India gained Independence, the government bought 49% stake in AI. In 1953, the government bought the remaining stake, and AI was nationalised.

With economic liberalisation and the growing presence of private players, this dominance came under serious threat. By 2007, Air India was merged with the domestic carrier, Indian Airlines, to reduce losses. But it is the mark of how poorly the airline was run that it has never made a profit since 2007. In fact, government had tried many times to recover the losses, also offered 40% stake and 76% stake in two different attempts but failed.

The latest attempt was started in January 2020, and even though aviation is one of the worst hit sectors due to the pandemic, the government has been able to finally conclude the sale.

The Government of India on October 8 announced the winning bidder for the national carrier Air India. The government’s DIPAM Secretary and the Secretary of Civil aviation addressed a press conference at 4 pm, where they announced that the Tatas won the Air India bid.

Air India will go back to the Tatas after a gap of 68 years as the Government of India approved its bid for the divestment sale. The Tata Sons emerged as the winning bidder at Rs 18,000 crore. The Tata Group outbid a consortium led by SpiceJet CMD Ajay Singh, who had bid Rs 15,100 crore to acquire Air India.

Post-acquisition, the Tata Group will have a 100 percent stake in Air India and a 100 percent stake in its subsidiary the Air India Express, which is a low-cost carrier focused on short-haul international operations, primarily in the Middle East. The deal with the Government of India also gives the Tatas a 50 percent stake in the joint venture Air India SATS (on-ground airport services and cargo handling).

As the debt-ridden carrier returned to the Tata fold, Ratan Tata expressed rejoice over the homecoming by recalling Jehangir Ratanji Dadabhoy Tata, who in 1932 started Tata Airlines which became Air India in 1946. He said: “Mr. JRD Tata would have been overjoyed if he was in our midst today.”

 

Comments

Post a Comment

Popular posts from this blog

7th Pay Commission- increment in dearness allowance (DA)

Once again the central employees are going to get some good news regarding dearness allowance (DA). From September, as per 7 th pay commission the central employees and pensioners started getting 28% Dearness allowance. With this the House Rent Allowance (HRA) of the Central government employees has also increased. The Central Government has removed the ban on freeze dearness allowance for the last 18 months, the DA of the employees has been increased by 11%, now the Central Government employees and pensioners will be paid DA and DR at the rate of 28%. After receiving a hike in their Dearness Allowance, the Central government employees are now waiting to get their arrears which is pending for last 18 months. Last July, the Central government employees have received their 28 percent allowance. However, when the Centre announced their dearness allowance, it was said that they would only receive the enhanced dearness allowance, but the arrears were denied. In January 2020, dearne
Read more

Computer Shortcut keys- Word, Excel

Taking shortcuts may or may not result in desirable outcomes. But in present time when computer is of vast use, using shortcut keys can definitely make your work easier on computer. If you are frequent computer user then you must know the shortcuts to increase the productivity. List of Word shortcut keys Ctrl + A -- Select all contents of the page. Ctrl + B -- Bold highlighted selection. Ctrl + C -- Copy selected text. Ctrl + X -- Cut selected text. Ctrl + N -- Open new/blank document. Ctrl + O -- Open options. Ctrl + P -- Open the print window. Ctrl + F -- Open find box. Ctrl + I -- Italicise highlighted selection. Ctrl + K -- Insert link. Ctrl + U -- Underline highlighted selection. Ctrl + V -- Paste. Ctrl + Y -- Redo the last action performed. Ctrl + Z -- Undo last action. Ctrl + G -- Find and replace options. Ctrl + H -- Find and replace options. Ctrl + J -- Justify
Read more

Sneha Dubey

Sneha Dubey- India’s first secretary at UN who gave fiery response to Pakistan prime minister Imran Khan. She slammed Pakistan for the raking the Kashmir issue at the UN body and referred to the nation as, “an arsonist disguising itself as a fire-fighter.” In a strong rebuttal, Sneha Dubey said that “This is the country which is an arsonist disguising itself as a fire-fighter. Pakistan nurtures terrorists in their backyard in the hope that they will only harm their neighbours. Our region, and in fact the entire world, has suffered because of their policies. On the other hand, they are trying to cover up sectarian violence in their country as acts of terror.” She emphatically added: “The entire Union Territories of Jammu & Kashmir and Ladakh “were, are and will always be an integral and inalienable part of India. This includes the areas that are under the illegal occupation of Pakistan. We call upon Pakistan to immediately vacate all areas under its illegal occupation.” Sneha is a 2
Read more