Decision on Air India will give new energy to aviation sector: PM Modi
Amid the acquisition of Air India by the Tata group, Prime Minister Narendra Modi on Wednesday said the decision on the national carrier will give new energy to the country’s aviation sector. His remarks come weeks after the Tata Group emerged as the winning bidder for Air India, paving the way for the disinvestment of the loss-making carrier.
In his address after inaugurating the Kushinagar International Airport, Modi said Air India’s decision will give new energy to India’s aviation sector.
The Tata Group has emerged as the winning bidder for Air India, and a letter of intent (LOI) was issued to the group on 11 October.
Earlier this month, the government accepted a proposal by Tales Pvt Ltd, a unit of the Tata group, to pay Rs 2,700 crore in cash and take over Rs 15,300 crore of Air India’s debt.
After the LOI is accepted by Tata, the Share Purchase Agreement (SPA) for the sale will be signed. Along with Air India, Tata will acquire 50 per cent stake in low-cost carrier Air India Express and Air India’s similar joint venture AISATS.
Read more: Air India returns to its original owner Tata after 68 years: Top Point
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