CCI approves acquisition of shareholding in Air India by Talace
Interests of the employees have been taken care of, says Minister
New Delhi: The Competition Commission of India (CCI) has approved acquisition of shareholding in Air India Limited (Air India), Air India Express Limited (AIXL) and Air India SATS Airport Services Private Limited (AISATS) by Talace Private Limited.
The proposed combination envisages acquisition of 100% equity share capital of Air India and AIXL, and 50% equity share capital of AISATS by Talace.
Talace is a wholly owned subsidiary of Tata Sons – an investment holding company, which is registered as a core investment company with the Reserve Bank of India (RBI) and classified as a “Systemically Important Non-Deposit Taking Core Investment Company”.
Air India is wholly owned by the Government of India. Air India, along with AIXL, is primarily engaged in the business of providing domestic scheduled air passenger transport service, international scheduled air passenger transport service, and air cargo transport services.
ISATS is engaged in the business of providing ground handling services at the following domestic airports i.e. Delhi, Bengaluru, Hyderabad, Mangalore and Thiruvananthapuram, as well as cargo handling services at Bengaluru airport.
Detailed order of the CCI will follow.
Meanwhile, the Minister of State in the Ministry Of Civil Aviation, General V.K.Singh (Retired) told Rajya Sabha that interests of the employees have been taken care of by the Government and incorporated in the Share Purchase Agreement signed with the Strategic Partner on October 25, 2021.
In accordance with the applicable laws, the Strategic Partner, post disinvestment, shall continue to provide Gratuity and PF benefits to the employees. The arrangement with the employees and Life Insurance Corporation of India for administrating the existing Air India and Indian Airlines employees Self Contributory Superannuation Pension Fund Trust will continue. Further, with regard to the medical benefits, they are to be made available to the retired and eligible retiring AI beneficiaries by the Government.
This information was given by
– global bihari bureau