New Delhi: Tata Sons will retake Air India - the airline it founded nearly 90 years back - as the government accepted its winning bid of Rs 18,000 crore to acquire 100 per cent of the debt-laden state-run carrier.
Talace Pvt Ltd, a unit of the holding company of salt-to-software conglomerate, made the winning bid of Rs 2,700 crore cash and Rs 15,300 crore in debt takeover, Tuhin Kanta Pandey, Secretary in the Department of Investment and Public Asset Management, said at a briefing on Friday.
Tatas beat the Rs 15,100-crore offer by a consortium led by SpiceJet promoter Ajay Singh and the reserve price of Rs 12,906 crore set by the government for the sale of its 100 per cent stake in the loss-making carrier. The transaction is targeted to be closed by December, Pandey said.
As per the terms of the transaction, Tatas cannot lay off any employee for one year and can offer a VRS in the second. It is free to do mergers but cannot sell the Air India brand or logo for five years.