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Air India sale: A look at the debt ridden Airlines in India and how can be revived it.

Air India’s total debt till the date of Rs. 60,074 crore. Any new investor this bid has been unviable as thenew bidder would not only clear the partial debt of Air India but also invest more finances to revive theairline.\

The divestment was delayed due to the ongoing pandemic till October 2021, as the buyers would not beable to make any physical inspections of the airline assets. Although the deadline to bid was December14th, 2021, Tata sons and Spice jet chairman Ajay Singh showed interest by September 30th, 2021.With the latest news of Air India bidding, it moreover seems like Air India is back to where it belongsafter 68 years. Tata Sons have been selected as the winning bidder with an offering of Rs 18000 crore.The government will divest its 100 percent stake in the debt-ridden Air India, Air India Express, and 50percent stake in the ground handling company (AISATS).

 Welcoming the airline back into the fold of the Tata Group, Tata Son's chairman emeritus Ratan Tatatweeted an old photograph of the late JRD Tata getting down from an Air India aircraft. The airline wasfounded by J. R. D. Tata as Tata Airlines in 1932. J. R. D. Tata himself flew its first single-engine deHavilland Puss Moth, carrying air mail from Karachi's Drigh Road Aerodrome to Bombay's (currentlyMumbai) Juhu aerodrome and later continuing to Madras (currently Chennai). After World War II, itbecame a public limited company and was renamed as Air India. In 1953, the Government of Indiapassed the Air Corporations Act and purchased a majority stake in the carrier from Tata Sons though itsfounder J. R. D. Tata would continue as Chairman till 1977. 

The BJP government’s second attempt of divesting Air India this time has been successful. During itsheyday, Air India was prominently known for its exceptional customer service. Being the perfectionistthat he was, JRD Tata strived for excellence and this resulted in the airline setting high standards evenfor its competitors such as Singapore Airlines, Thai Airways, Cathay Pacific, and others. With thedivesting of the airlines back to the Tata sons, there has been a rise of hope that the Indian economy willsee a good rise and the World famous Air India mascot The Maharaja will be back in action. 

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