Air India fails to get response from bidders, centre ready to divest entire stake

The central government has failed to receive expressions of interest (EoIs) from bidders for buying out a 76 per cent equity stake in Air India. Not even a single bidder participated in the bidding process which ended on May 31, 2018. The Ministry of Civil Aviation had decided to not extend the bids beyond the last date of submission. The government retaining a 24 per cent stake in the airline acted as a major deterrent keeping bidders away. After having failed the first time, the central government is now ready to divest its entire (100 per cent) equity stake. The government will now adopt the Air India Specific Alternative Mechanism with the new proposal on divestment and it will be prepared by a committee of secretaries.