Parmita Uniyal
New Delhi: Even as Tata Group is indecisive over acquiring Air India, the employees of national carrier have firmed up plans to submit their bid.
The employee grouping will submit expression of interest (EoI) before the deadline for the initial bid ends on December 14, 2020.
“About 200-250 employees would form the consortium and bid for the airline,” top industry sources told Top Lead India.
After extending the EoI deadline for multiple times, the government has substantially eased the sale terms for national carrier in favour of prospective acquirer. The dilution of bid terms is being seen as government’s determination to dispose off the flag carrier.
Failing to get any response from private parties, an inter-ministerial panel headed by Home Minister Amit Shah earlier this month cleared a proposal to sell Air India on the basis of enterprise value instead of the previous equity and pre-fixed debt value.
The change in sale terms allows bidders to value Air India’s debt instead of the government’s fixed amount.
As per the revised criteria, prospective bidders will also have to offer 15% of the value as cash to the airline, while the remaining 85% will remain as debt with Air India.
The Modi government had in January invited global bid to sell its 100% stake in Air India after failing in its first disinvestment attempt in the previous term.