Air India divestment process finally takes off, with sweetened deal terms

The govt has announced it would absorb 30% more in debt and liabilities, than in the previous year

Almost two years after a failed attempt, the government on Monday launched the biggest privatisation exercise in value terms, inviting preliminary bids for Air India with sweetened deal terms. Full management control, reduced debt, a leaner organisation and flexibility to form a consortium are among the relaxed terms on offer for Air India divestment as potential bidders weigh their options to buy what was once a national asset.

According to the bid document, the government would divest its entire  stake in the state-owned airline and subsidiary Air India Express, along with its joint venture Air India SATS Airport Services. The