Not brave enough to buy Air India

June 30, 2017 by  
Filed under Aviation, News, South Asia

NEW DELHI, 30 June 2017: Indian billionaire Anand Mahindra said he was not brave enough to take on debt-laden Air India after the government said it would privatise the ailing national carrier.

Air India, known as the “Maharaja of the Skies” for its turbaned mascot, is reeling under 520 billion rupees (USD8 billion) in debt which clouded the government announcement of the selloff late Wednesday.

It is unclear if the government will write off any part of the debt. But there appeared little enthusiasm among potential buyers as markets opened Thursday. Read more

India ready to sell airline

June 29, 2017 by  
Filed under Aviation, News, South Asia

NEW DELHI, 29 June 2017: India’s cabinet approved Wednesday plans to sell a stake in state-run Air India as the debt-saddled carrier struggles to compete with low-cost rivals in one of the world’s fastest-growing airline markets.

Finance Minister ArunJaitley announced cabinet had given “in principle approval for the disinvestment” of the flagship carrier, which was nationalised just after India’s independence nearly 70 years ago.

Jaitley will head a group tasked with progressing the sale, including the amount of divestment and other matters related to Air India’s assets, debts and related hotel companies. Read more