Nod from foreign regulators, balance sheet delays Air India transfer

The government’s plan to transfer Air India to its new owners, the Tata Group, has been postponed to Jan.31 or beyond due to delays in finalizing its balance sheet and approvals from international regulators, some officials told ET .

“A number of requirements for the airline transfer have been met and some of them are pending … The process to get these approvals is underway and the transfer is expected to take place before the end of next month. (January 2022), “said Department of Investment and Public Asset Management Secretary Tuhin Kanta Pandey.

Another official said that although the Indian Competition Commission (ICC) has given the green light, given that Air India is a global airline, the deal also requires approval from international regulators. “A lot of them are in the final stages and the expectations are that they should be arriving soon.”

Air India’s balance sheet is expected to be finalized by the middle of next month, the person who requested anonymity said.

The transfer was to be completed by the end of December in accordance with the letter of intent (LoI) issued to the Tata group confirming the government’s willingness to sell its 100% stake in the airline on October 11.

Meanwhile, the Tata Group has hired leading professional services firm Deloitte to help with the Air India integration, people familiar with the development said.

Source link

Comments are closed.