Industrialist Anand Mahindra has welcomed the government’s announcement of winning Tata Sons’ bid for Air India, saying the national carrier’s disinvestment amounts to a “reset” of the Indian business environment.
The Mahindra Group chairman said that with this move, the government is distributing not only the cash withdrawals – the government is losing around Rs 20 crore a day to fly the national carrier – but also its confidence in the private sector. Upgrading as well.
“I may be accused of exaggerating the significance of this event, but I think this disinvestment is tantamount to a ‘reset’ of the Indian business environment. Yes, the government is draining cash; but it Is also renewing confidence – after decades – in the potential efficiency of the private sector,” tweeted Mr Mahindra, sharing a post by Tata Sons Emeritus Chairman Ratan Tata as the group regained control of Air India after 70 years. took.
I may be accused of exaggerating the significance of this event, but I think this disinvestment is tantamount to ‘resetting’ the Indian business environment. Yes, Govt. is the distribution of cash withdrawals; But it is also renewing confidence in the potential efficiency of the private sector—decades later. https://t.co/iZKgt2L7cD
— anand mahindra (@anandmahindra) 8 October 2021
Tata Sons was chosen as the winning bidder for Air India, ending decades of efforts to privatize the debt-ridden airline, and potentially end years of taxpayer bailouts that kept it running.
Tata Sons, which originally launched Air India Limited with a well-known branding in 1932, bid Rs 18,000 crore as an enterprise value for Air India, said Tuhin Kanta Pandey, the top bureaucrat in the Department of Investment and Public Asset Management. said in a briefing. Friday. The government aims to complete the transaction by the end of 2021.