IndiGo recently issued a statement that it is no more interested in buying Air India as it was not fine with the terms and conditions set by the Government.
Recently last week the Government had released the bid documents while seeking to sell a 76% stake in the state-run carrier which runs on both, domestic as well as International routes.
According to Government sources, the sale would include a 100% stake in Air India Express and also a 50% stake in SATS Airport Services, which is the ground handling arm of Air India
IndiGo issued a statement where it said “From day one, IndiGo has expressed its interest primarily in the acquisition of Air India’s international operations and Air India Express. However, that option is not available under the Government’s current divestiture plans for Air India,”
Aditya Ghosh, the airline’s president, said in a statement “We do not believe that we have the capability to take on the task of acquiring and successfully turning around all of Air India’s airline operations,”.
Internationally Singapore Airlines and Turkey’s Celebi Aviation Holdings said that they had an open mind about acquiring Air India while domestically IndiGo and Tata Group expressed their initial interest in acquiring Air India and its operations
Last year the Modi Government gave the green signal and go ahead to sell Air India as many previous governments also had to spend billions of dollars to keep it afloat
Previous attempts of selling the Airline have been failures as its debt burden of dollar 8 billion and a dysfunctional cost structure have been a major concern for buyers.
ALSO READ – AMAZON INITIATES B2B SELLING
