The Competition Commission of India (CCI) has approved the acquisition of the government’s shareholding in Air India, Air India Express and Air India SATS Airport Services by Tata Group’s Talace Private Limited, taking the first privatisation of a PSU after 17 years closer to completion.
On October 8, Tata Group won the bid for full ownership of the national airline that has long guzzled taxpayers’ money by offering Rs 18,000 crore as enterprise value (EV) consideration.
The proposed combination envisages acquisition of 100% equity share capital of Air India and Air India Express (AIXL) and 50% equity share capital of Air India SATS Airport Services by Talace.
The government’s AI transaction is expected to close by the end of this month.
Air India will be the third airline brand in the Tatas’ stable – it already owns 84% stake in AirAsia India and 51% in Vistara.