New Delhi
Air India stake sale: After the government failed to receive any bids for Air India, Anand Mahindra called for turning the crisis into an opportunity, and also listed out several measures to be taken. Calling it a matter of ‘national pride,’ Mahindra & Mahindra’s top boss said that there must be a resolve that a sale is made.
“I think that zero interest in the sale has demonstrated to the people that tough action towards a turnaround is needed. There will be widespread support for swift & decisive action. This is a political opportunity,” Anand Mahindra said on twitter.
The deadline for submitting bids to pick up a stake in Air India came to an end yesterday, with the state-run carrier drawing a blank, with even potential bidders IndiGo and Tata Group staying away. The civil aviation ministry said in a tweet that no bids were received for Air India disinvestment, and the future course of action will be decided later.
Anand Mahindra said that the government must look to “locate appoint an official with the potential & passion of an E Sreedharan as Chairman and CEO.” Further, he called for a “resolve that a sale will be made, but only after a turnaround.” In a series of two tweets, M&M’s Chairman pointed out that the government must,“Provide full autonomy to the Chairman & CEO with a target horizon for a turnaround. Provide the Chairman complete insulation from political pressure; Provide full moral support to the Chairman for all tough measures that will be required,” he tweeted.
Yesterday, the aviation secretary reiterated that the government has no intention of controlling the airline and is no in a now in a better position to understand what the market wants. The government planned to sell up to 74% stake in the carrier, and the divestment would include profit-making Air India Express and joint venture AISATS, an equal joint venture between the national carrier and Singapore-based SATS.
