(March 9): A group of Air India Ltd employees has been ruled out of a bidding process to take control of the loss-making national carrier, as the government moves ahead with its years-long attempt to offload the airline.
“I write to you with a heavy heart on the outcome of our bid to acquire Air India,” the airline’s commercial director Meenakshi Malik wrote in a letter to employees dated March 8. “We have been unsuccessful in qualifying to the next phase of the ‘Disinvestment Acquisition process.’”
Citing a letter from Ernst & Young, which is advising the government on the sale, Malik said the group didn’t meet eligibility requirements. They include submitting three years of audited financial statements for foreign consortium members and being an appropriately regulated foreign investment fund. The group of employees partnered with a Seychelles-based fund for the bid.
Air India Employees Consortium Disqualified From Divestment Process Air India Employees Consortium Disqualified From Divestment Process Air India Employees Consortium submitted an expression of interest , last year, to participate in strategic divestment of the national carrier Air India.
Divestment of Air India is still under process
Air India Employees Consortium, which participated in the Air India divestment bid, was disqualified from the divestment process by the Transaction Advisor to the Government of India (Ernst & Young LLP) on Monday. AI Employees Consortium submitted an expression of interest , last year, to participate in strategic divestment of the national carrier Air India. The Government of India has informed the AI Employees Consortium by an email on Monday that their submission for the Air India disinvestment acquisition process is not fulfilling the eligibility.
Air Indiaâs employee consortium fails to qualify; Tata and Spicejet continue in the race
Sarangib
While Tata and Spicejet continue in the bidding process for Air India, the consortium of Air India employees that placed an expression of interest (EoI) has failed to qualify for the next round.
The government aims to complete the privatisation of the national carrier in the next fiscal.
The news of disqualification was given by Meenakshi Mallik, the airlineâs commercial director, to Air India employees.
Mallik spearheaded the ambitious attempt to take over the state-run carrier. As per the news report, Mallik informed the employees in a three-page letter that the consortium was out of the race.
Air India takeover bid by staff disqualified, race narrows to a few, including Tata Sons theprint.in - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from theprint.in Daily Mail and Mail on Sunday newspapers.
Employees out of reckoning to run Air India
March 08, 2021
Transaction advisor spells out three reasons for disqualifying Expression of Interest Air India employees have been unsuccessful in their bid for being the new owners of Air India.
In a three-page letter to employees, Meenakshi Mallik, Commercial Director, has said that she has seen an email from the transaction advisor EY to the government, informing the employees of AI that they have been unsuccessful in qualifying for the next phase of the ‘Disinvestment Acquisition’ process.
The letter spells out three reasons for the Expression of Interest of the employees being disqualified. The reasons are non-submission of required three years audited financial statements for foreign consortium member, non-submission of information or details by interested bidders for investments in offshore companies, which forms a substantial part of the net worth of the foreign consortium member, and the foreign consortium member not bei