India sells Air India to Tata Economics

The Indian government has agreed to sell Air India for $ 180 billion ($ 2.4 billion) to merge with Tata, the Finance Ministry said on Friday.

Duhin Kanda Pandey, Head of the state’s privatization department, said Talace Pvt Ltd, A subsidiary of the Federation Tata, Won the tender to acquire the airline.

“The transaction must be completed by the end of December 2021″, He noted.

Federation Tata, From tea to steel, founded the airline Water management In 1932, before nationalization in the 1950s.

In the 1990s, Air India began to accumulate huge losses and debts in the face of low prices and competition from Gulf airlines on domestic and international routes.

Subsequent Indian governments sought to privatize the company, but its insistence on debt and New Delhi holding a stake encouraged potential buyers.

Last year, the Prime Minister’s government Narendra Modi, Trying to get rid of public property, retained a portion of the debt and decided to accept concessions to the entire company.