Home / Shipping / Aviation/ Turkey’s Celebi keen to buy Air India’s ground handling unit

Turkey’s Celebi keen to buy Air India’s ground handling unit


Comments / {{hitsCtrl.values.hits}} Views / Monday, 11 September 2017 00:00


  • Celebi writes to Indian aviation ministry
  • India yet to decide on splitting Air India, restructuring debts

NEW DELHI (Reuters): Turkey’s Celebi Aviation Holding has shown interest in buying state-owned Air India’s ground handling operations, India’s aviation secretary Rajiv Nayan Choubey said on Friday.

Celebi, which also provides ground handling services in India, has written to the ministry showing interest to bid for the Indian flag carrier’s ground handing operations, Choubey told Reuters.

Prime Minister Narendra Modi’s cabinet in June approved plans to privatise Air India after successive governments spent billions of dollars to keep the debt-laden carrier flying.

Celebi is the second firm to show interest in buying Air India’s ground handling operations.

Celebi was not immediately available for comment.

Last month India’s Bird Group, which handles ground services at seven airports in the country and operates hotels in the United Kingdom, had expressed its interest to bid for Air India Air Transport Services Ltd.

Founded in the 1930s and known to generations of Indians for its Maharajah mascot, Air India is saddled with a debt burden of $8.5 billion and a bloated cost structure. The government has injected $3.6 billion since 2012 to bail out the airline.

A ministerial panel, headed by Finance Minister Arun Jaitley, has been appointed to look after the sale process of the flagship carrier, which has six subsidiaries – three of which are struggling to turn a profit – with assets worth about $4.6 billion.

Choubey said the panel is discussing whether to split Air India and restructure its debt ahead of privatisation.

Once the nation’s largest carrier, Air India’s share of the booming domestic market has slumped to 13 percent as private carriers such as IndiGo and Jet Airways have expanded. In July, InterGlobe Aviation’s IndiGo, India’s largest airline that flies four of every 10 passengers, said it was keen to buy Air India’s international arm and low-cost division Air India Express.

 


Share This Article


DISCLAIMER:

1. All comments will be moderated by the Daily FT Web Editor.

2. Comments that are abusive, obscene, incendiary, defamatory or irrelevant will not be published.

3. We may remove hyperlinks within comments.

4. Kindly use a genuine email ID and provide your name.

5. Spamming the comments section under different user names may result in being blacklisted.

COMMENTS

Today's Columnists

Separatist threat arising from indifference to environmental concerns

Saturday, 26 May 2018

The 100-day agitation against a major copper smelting plant at Thoothukudi in Tamil Nadu, which led to 13 deaths in police firing earlier this week, has brought into the open the many-faceted dangers of ignoring environmental issues.


A dilemma ?

Saturday, 26 May 2018

“Everything is abnormal in our society… nobody knows how to act-not only in the most difficult situations, but even in the simplest”


It is possible to amend Muslim Marriage Law: Ash Sheik Muneer Malaffer (Naleemi)

Friday, 25 May 2018

I have written two articles heavily criticising the parties supposedly spearheaded the attacks against Muslims


Nebulous in Never-Never Land

Friday, 25 May 2018

A wag said on social media recently that the inhabitants of our Blessed Isle must have liked the royal wedding so much


Columnists More