Thread by @BiIndia

Days before the #AirIndia bid, #Tatas give #AirAsia a ‘national’ tag

businessinsider.in/business/corpo…

By @navdeepyadav321

#TataGroup hikes its stake in #AirAsia India, buys additional 32.67% stake for $37.66 million (₹276 crore).

#TataGroup now holds 83.67% stake in the venture, with an option to acquire the rest 16.33% stake for $18.83 million.

#AirAsia

This move comes as the race for #AirIndia’s divestment heats up, with its second phase beginning on January 5. #TataSons has filed an expression of interest to rescue the cash-strapped national carrier.

#AirAsia

The company has been unprofitable since its launch in 2014. In FY20 results, #TataSons said that the pandemic completely eroded the #AirAsia India net worth, and its auditor raised the red flag about the JV’s ability to continue.

The #TataGroup also invested nearly ₹490 crore in #AirAsia India in FY20, while the JV posted a loss of ₹317 crore in the same period.