State Bank of India prepared to support Tata group's bid for Air India

Holding company's 'AAA' rating will make it a formidable player: Bankers

India’s largest public sector bank State Bank of India (SBI) will support Tata group’s bid for soon-to-be-privatised Air India by subscribing to Tata Sons debentures or funding the special purpose vehicle (SPV) set up by Tata Sons for the acquisition.
 
Bankers said the credit rating of Tata group’s holding company is “AAA” signifying high safety and a combination of Air India with its existing airline businesses would make it a formidable player — leading to a duopoly market with IndiGo. It would also open many business opportunities, including in the retail segment, an official said.
 
Another SBI executive