Air India is all set to return to founder Tata Group either this week or next. The handover could happen this week or next week if the airline’s closing balance sheet as of January 20, 2022, supposed to be given to the Tatas, is accepted by them and they then make the upfront payment of £270 million.
The date was conveyed to AI employees by the airline’s finance director Vinod Hejmadi. “The disinvestment of AI is now decided to be on January 27, 2022. The closing balance sheet (has to be) reviewed by Tatas and any changes can be effected…. The next three days will be hectic for our department and I request all of you to give your best in these last three -four days before we get divested. We may have to work late in the night to complete the task given to us,” Hejmadi, a board member and a key architect of this divestment, said in a mail to finance department staffers on Monday as they will be required to work in this week of holidays.
The Tatas have so far not commented on takeover preparations or plans for the airline founded by JRD Tata 69 years ago. Unless there is a difference of opinion between the outgoing and incoming owners on the balance sheet that may require recalibrating the same, the Tatas will pay £270 million upfront and take over the airline. Apart from the upfront payment, the deal requires the new owner to take over AI’s debt of £1.53 billion.
