March 21, 2018 TnH Global 0

IndiGo, Qatar Airways likely to make a joint bid for Air India

State-owned Qatar Airways and India’s largest budget carrier IndiGo are likely to put up a joint bid for ‘The Maharajah’.

Indian budget carrier IndiGo, which is battling cancellations owing to engine troubles, and Qatar Airways are likely to make a joint bid for ailing Air India, according to a report in The Financial Express. The Centre is preparing to call for Preliminary Interest Memorandums (PIM) and Expression of Interest (EoI) from interested parties for the flag carrier.

According to the report, the government has clarified that the net worth criteria that bidders must adhere to is likely to be Rs 1,000 crore, calculated on the basis of an existing formula under the Companies Act, before they are allowed to put in bids and access the bid data for the national carrier.

IndiGo is owned by Interglobe Aviation Ltd while Qatar Airways is owned by the Government of Qatar. In the past, Qatar Airways had shown interest in picking up a stake in IndiGo, but the latter had rejected the offer.

IndiGo was one of the first airlines to openly express interest in purchasing international operations of Air India after the government announced plans for the national carrier’s divestment.

News Source: http://www.financialexpress.com/