Finance Ministry asks AAI to issue shares against govt funding of Rs 656 crore
Updated : May 21, 2019 02:06 PM IST
The fact that AAI did not issue equity to the government in lieu of fund infusion by the government, last year during discussions in the Finance Ministry over share buyback by profit-making public sector enterprises.
Following that, discussions were held among the officials of the Ministry of Finance, Corporate Affairs and Civil Aviation for corporatisation of AAI and legal opinion was obtained on share issuance corresponding to the capital infusion.
In the last fiscal, AAI had transferred the entire profit after tax (PAT) for 2017-18 fiscal of Rs 2,800 crore to the government as dividend.
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