Newsinc24 Team 
Tata sons and SpiceJet chairman Ajay Singh(in personal capacity)-two parties have submitted bids for acquiring Air India. Wednesday was the last day for submitting financial bids for Air India. “Financial bids for Air India disinvestment received by Transaction Adviser. The process now moves to the concluding stage,” said DIPAM Secretary.The process started in January 2020 got derailed because of the pandemic and this time, the ministry was firm to not postpone the last date of bidding. Tata Group was among the multiple entities that had put in an initial expression of interest in December 2020 for buying Air India.
As of March 1, 2019, Air India's total debt was Rs 60,074 crore. The debt will be transferred to its new owner but the government made it easy for the new owner by inserting a flexibility clause. Going by the new clause, the new owner of Air India will have to absorb Rs 23,286.5 crore while the rest would be transferred to Air India Assets Holding Ltd, a special purpose vehicle. This clause was brought in to make the deal sweet for the prospective buyer as Air India has been in losses since 2007. Air India had failed to attract a bidder in 2018 when the government floated an offer to sell a 76 per cent stake. However, the government is looking to sell its entire stake in Air India this time.
The offer includes all of Air India and Air India Express and a 50 per cent stake in the ground handling capacity of AISATS. Air India has control over at least 4,400 domestic and 1,800 international landing and parking slots at domestic airports. It also has 900 slots abroad.
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