Modi Said to Exclude $4.7 Billion Debt Before Air India Sale
- Non-aviation assets to be shifted to a separate company
- Goal is to get the bidding process started before March 31
Photographer: Dhiraj SIngh/Bloomberg
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India plans to exclude more than half of the $7.6 billion debt owed by the struggling national airline to help burnish its appeal as Prime Minister Narendra Modi presses ahead with a sale, people with knowledge of the matter said.
The government proposes to transfer all of Air India Ltd.’s non-aviation assets and short-term loans of as much as 300 billion rupees ($4.7 billion) to a separate company, readying the airline for prospective buyers, the people said, asking not to be identified discussing confidential information. Authorities aim to kick off the bidding process before March 31, they said.