Ministerial group discusses Air India disinvestment

The interest in Air India is growing, with airport service provider Cargo Service Centre now becoming another company to be keen in the flag carrier’s ground-handling arm Air India Air Transport Services (AIATSL).

Senior officials at the Ministry of Civil Aviation (MoCA) said that they have received a letter from Cargo Service Centre evincing interest in acquiring AIATSL.

The Tushar Jani-led Cargo Service Centre provides cargo services at Delhi, Mumbai and Chennai airports, according to its website.

Earlier, Turkish firm Celebi and New Delhi-based Bird Group had shown interest in buying AIATSL, the profit-making subsidiary of Air India.

IndiGo had earlier written to the MoCA expressing interest in international flight operations of Air India, as well as its subsidiary Air India Express.

However, the low-cost carrier had ruled acquiring stakes in Air India in a joint venture with the government, and made it it clear that it is interested only in its international operations.

The government had on June 28 given in-principle approval for the proposal to disinvest Air India.

A Group of Ministers led by Finance Minister Arun Jaitley has been appointed to work out the modalities of the disinvestment process. The GoM will decide on how much stakes should be divested besides other issues.