Air India’s handover to Tatas expected soon after Republic Day

Air India’s handover is expected to take place any day after Republic Day on January 26, officials aware of the matter said on Monday, months after Tata Sons resumed control of the airline after a bidding in October last year.

Tata Group founded the airline as Tata Airlines in 1932 before it was nationalised in 1953. Talace Pvt Ltd, a unit of Tata Sons, acquired Air India to return the control back of the financially troubled airline to the group.

The airline officials cited above said an internal message sent to the employees informed them that the closing balance sheet was to be submitted by the end of Monday. The balance sheet was then to be forwarded to the Tata Sons for review. The airline is finally expected to be handed over to the new owner by Thursday.

“The closing balance sheet as of 20th January has to be provided today (Monday) 24th January so that it can be reviewed by Tatas and any changes can be effected on Wednesday,” the message said. It added the next three days will be hectic and requested the airline employees to give their best before the airline gets divested. “We may have to work late in the night to complete the task given to us,” the message said while seeking the cooperation of the employees.

Air India officials maintained that the final handover date was not finalised but they aim to hand over the airline by Thursday. “We cannot confirm a date, but the final handover has to happen this week,” said an Air India official, who did not want to be named.

The officials said they were working round the clock to finish all the procedures this week. They may have to work even on January 26 so that the handover can be done on Thursday, said a second official, requesting anonymity. “We have done an excellent job till now in providing all support for the disinvestment exercise.”

An Air India spokesperson refused to comment on the matter.