Government invites bids to sell 100 pc stake in Air India

The government on Monday invited preliminary bids to divest its entire stake in Air India, and the airline's subsidiary Air India Express along with its joint venture Air India SATS Airport Services Private Limited.

As per a preliminary information memorandum (PIM) issued by the Department of Investment and Public Asset Management, the last date for submission of expression of interest is March 17 and qualified bidders will be notified March 31.

"The Government of India (GOI) has given 'in-principle' approval for strategic disinvestment of Air India (AI) by way of the transfer of management control and sale of 100 per cent equity share capital of AI held by GOI which will include AI's shareholding interest of 100 per cent in Air India Express Limited (AIXL) and 50 per cent in AISATS," said the PIM document.

AI, wholly owned by the government, is a company incorporated under the Companies Act, 1956 on March 30, 2007 and is engaged in the business of certain air transport services and allied activities, operating both domestically and internationally.

"As on November 1, 2019, AI's authorized capital is Rs 3,50,00,00,00,000 divided into 35,00,00,00,000 equity shares of INR 10 each and its paid-up share capital is Rs 3,26,65,21,00,000 divided into 32,66,52,10,000 equity shares held by the President of India (aggregating to 100 per cent of the entire paid-up share capital of AI)," the document added.