Air India divestment: Govt likely to approve and announce name of final bidder

New Delhi: Who will ultimately take over Air India after years of waiting? When the Central government makes its announcement today, the answer will be evident. The winning bid for debt-ridden national airline Air India is expected to be announced on October 8, a media report said citing sources. Air India is also expected to return to its founders after a 68-year hiatus.

According to a report, Tata Sons is expected to take over Maharaja and its massive fleet before the end of the year. The Centre, on the other hand, rejected such claims, saying that more information would be provided after a decision is made.

“Media reports indicating approval of financial bids by the Government of India in the AI disinvestment case are incorrect. Media will be informed of the Government decision as and when it is taken,” DIPAM Secretary had tweeted earlier.

According to another report, the bids have been vetted by a Ministerial Group chaired by Home Minister Amit Shah, based on recommendations by a panel of Secretaries led by the Cabinet Secretary.

The link between the Tata Group and Air India dates back to 1932, when businessman Jehangir Ratanji Dadabhoy (JRD) established the national carrier. Following that, the airline grew to include passenger planes, and in 1938, it began operating internationally.

The airline's name was changed to Tata Air Services and then to Tata Airlines once Columbo was added to its list of destinations.