Air India to raise ₹700-crore short term loan
Mumbai: National carrier Air India Ltd plans to raise up to ₹700 crore through a short-term loan (STL) from domestic lenders by 15 March, the airline said in a tender document on Monday.The loan will carry a sovereign guarantee, and lenders have to submit their bids by 2 March, it added.
Proceeds of the loan will be utilized for working capital expenses and to repay a portion of its dues to its vendors, including oil marketing companies, said an Air India official, requesting anonymity.
In January, the government invited offers from investors to acquire Air India Ltd, after a costly turnaround plan and a previous effort to sell a controlling stake in the national carrier failed.
