Govt likely to ease minimum requirement to bid for Air India

NEW DELHI: A Cabinet Secretary-led panel will make its recommendations on an Air India-specific alternative mechanism (AISAM) for stake sale in national carrier, government sources said.

The government may ease the minimum requirements for the consortium to bid for Air India in the expression of interest (EoI). The minimum stake for the highest partner in the consortium is likely to be lowered from 51 per cent proposed earlier.

The government may also specify minimum stake that an interested player can pick up as a part of the consortium bidding for Air India. Air India Express, Air India SATS are likely to be part of the stake sale deal.


Air India Express is the low-cost subsidiary of Air India and Air India SATS is its ground handling joint venture with Singapore Air India Port Terminal Services (SATS).

The EoI for Air India will have clarity on stake, as well as debt. All Air India routes, planes, slots and landing rights will be put on the block. The stake sale will be within the current aviation sector guidelines, FDI framework and ownership guidelines.