Tatas, Singapore Airlines close to making a joint bid for Air India
The Tata Group wants to fly Air India, the carrier it founded 87 years ago. According to a TOI report, the Tatas are moving close to making a bidding call for the national carrier in partnership with Singapore Airlines. They have already started working on the structure for such an acquisition, including a merger of AirAsia India, in which they hold 51%, and Air India Express, a 100% subsidiary of the national carrier.
The Tata Group, the report added, is learned to have approached Tony Fernandes, the Malaysian entrepreneur who holds 49% in AirAsia India, for his approval to acquire AI Express. The shareholders’ agreement stipulates that Tatas can’t invest more than 10% in another budget airline without Fernandes being willing to waive the covenant.
