Expat CEO to lead Air India; board to be reconstituted: Report
Mumbai/IBNS: Tata Sons has chosen a non-Indian CEO to head Air India and also shortlisted members for reconstituting the board of the acquired national career before it finally takes over in January 2022, media reports said.
It will be largely left to the new Air India CEO to finalise the management team for the career, Economic Times reported citing officials aware of the matter.
According to the report, the new board will have officials from the Tata Sons M&A team, group aviation experts, and a retired government official as an independent director.
Seven board members have been asked to resign. These include four functional directors, two government nominee directors, chairman, and managing director.
"The board of directors has to resign.. (before the transfer of control) takes place after the (last) board meeting of Air India," the report quoted an airline official who requested anonymity.
According to the report, Tata Sons chairman N Chandrasekaran likely to be the new chairman and the rest of the board is likely to comprise group stalwarts such as Bhaskar Bhat, Air Asia CEO including officials close to the government.
Traditionally the chairman of Tata Sons is the chairman of all major operating companies in the group and it is likely to be so for Talace, too, which houses Air India, the report said.
Formal announcements in this connection with this will be made in January 2022 the officials told Economic Times.
Talace Ltd which houses Air India and Air Asia is working on a financial plan for working capital requirements.
A branding plan for Air India is also being prepared by the group's integration team comprising key officials from Tata companies such as Air Asia India, TCS and Tata Steel.
The integration team will make a presentation to the Tata Sons board officials.
Tata Steel officials have been roped in for their understanding in handling employee unions, officials told ET.
The group will also rename Talas Ltd. that bid for Air India to house its single airline structure, officials added.