Tata Group on Thursday regained ownership of Air India, 69 years after it was nationalized. The salt-to-software conglomerate has pledged to turn the money-losing airline into a world-class airline.
The handover is the result of the government’s attempt to transfer ownership of the loss-making airline to a private owner. The airline has not been profitable since its merger with Air India in 2007-08 and reported a loss of Rs 7,017 crore in FY21.
The acquisition gives Tatas a 100% stake in Air India, its low-cost subsidiary Air India Express, and a 50% stake in ground handling company AISATS.
Post-acquisition, Tata Group chairman N Chandrasekaran said the company’s operations will change. “My first flight was on Air India in December 1986 and I will never forget the special feeling of being on board, or the excitement when we took to the skies. It’s a good memory, but now it’s looking forward The time has come for the future. I am writing this letter on behalf of the Tata Group to welcome you into our family. I have learned that preserving the best of the past requires constant change. It is by developing, adapting and embracing the future that We can best honour the glorious history,” Chandrasekharan said in his first message to Air India employees.
Complete News Source : Business Standard
