The sale of Air India could be delayed as the government has extended the time till March 6 for bidders to pose additional queries regarding the sale of its 100 per cent stake in the carrier.
The government has issued the first set of clarification on Air India divestment answering queries of interested bidders on the “confidentiality undertaking” listed out in the Preliminary Information Memorandum (PIM) issued on January 27.
The last date for submission of written queries on the preliminary memorandum and the share purchase agreement was set for February 11, following which the Department of Investment and Public Asset Management (Dipam) on February 21 issued a set of 20 clarifications on the queries raised.
The additional time period for submission of written queries on the memorandum and the purchase agreement is till March 6, 2020. Any delay in the tentatively rolled out timeline would also delay Dipam’s plan to identify the pre-qualified bidders by March 31 and the financial bids invitation as well. It is expected to take more than two months after the selection of the pre-qualified bidders to complete Air India’s sale.
The government in January renewed the divestment process of Air India and invited bids for selling 100 per cent of its equity in the state-owned airline, including Air India’s 100 per cent shareholding in AI Express and 50 per cent in Air India SATS Airport Services Private Ltd.
The last date for placing bids is March 17.