After several attempts, the government finally bid goodbye to AirIndia as Tata Sons emerged successful in their bid to get Air India in their fold.
The wheel turned full circle for Tatas as Air India was started by JRD Tata in 1932 and nationalised by the Government in 1953. Over the years, the public sector airline accumulated massive losses and the government injected Rs. 1.1 lakh crore over the past decade or so to make it viable. Tata Sons made a bid of Rs. 18,000 crore to get Air India.
The Tata group has stakes in Vistas and Air Asia and will also get Air India’s slots domestically and at international airports.
As Air India, originally Tata’s baby, is back to its parental home, it will have to face the challenges of making it commercially viable. The aviation sector has faced huge losses due to the pandemic and with the easing of travel restrictions worldwide, the highly capital intensive sector may find wings to soar without hiccups once again