Air India on Thursday saw a change of guard at the helm with the government transferring its shares in the airline to Tata Sons subsidiary, Talace.
“All formalities have been completed. Air India disinvestment transaction is now closed. The consideration amount of ₹2,700 crore has been received by the government. The shares have been transferred to Talace. Consideration amount has been received and so the new owner is Talace. The debt of ₹15,300 crore has been accepted [by the new owners]. The new Board is currently conducting its meeting,” Secretary, DIPAM, Tuhin K Pandey, told reporters.
“We are totally delighted that this process is complete. We are very happy to have Air India back in the Tata fold. We look forward to working with everyone,” Chairman, Tata Sons, N. Chandrasekaran said.
Earlier this week, the airline finalised its closing balance sheet and sent it to the Tatas for a review.
With the transfer on Thursday, the Tatas will be in control of three airlines in the country and nearly 27% market share in the aviation sector. The other airlines are Vistara in which the Tatas have a 51% stake and Air Asia where they have a 84% stake.
Last year in October, Tata Sons subsidiary, Talace Pvt. Ltd. emerged as the winning bidder for the debt-laden national carrier after quoting an enterprise value of ₹18,000 crore as part of a disinvestment process undertaken by the government.
The Tatas will own 100% stake in Air India, 100% in its international low-cost arm Air India Express and 50% in the ground handling joint venture, Air India SATS.