Air India takeover will be healthy for the brand, says SpiceJet CMD

SpiceJet’s Chairman & Managing Director, Ajay Singh has called the privatisation of Air India (AI) as ‘healthy’ and good for the country. Singh, who was speaking at the 77th annual general meeting of the International Air Transport Association, added that AI’s glory will be restored once it is completely taken over.  

According to a report in the Economic Times, financial bids by Singh and Tata Group opened last month and were vetted by 'Core Group of Secretaries on Disinvestment', headed by cabinet secretary Rajiv Gauba on September 29.  

On October 1, Tuhin Kanta Pandey, secretary to the department of Investment and Public Asset Management (DIPAM), on Twitter said that the government is yet to finalise the bids for AI. Pandey said the media will be informed when the move is approved.  

“It is hypothetical but of course a healthy Air India is good for the entire country and we believe that with the takeover or the privatisation of Air India, it will be a healthier airline and the brand of Air India would slowly be restored to the glorious brand it was," Singh said.

Since January of last year, the government has been trying to sell 100 per cent of AI’s stake, which includes the airlines' 100 per cent shareholding in Air India Express Ltd and 50 per cent in Air India SATS Airport Services Private Ltd.

After delays due to the Covid-19, the government officially asked bidders to financially bid in April 2021. The airline has been in losses since its merger with Indian Airlines in 2007.