Govt disqualifies highest bidder, annuls EOI process for sale of Pawan Hans

The government has disqualified a consortium of Star9 Mobility from the sale of Pawan Hans. Government has also announced the annulment of the current EOI process in the strategic disinvestment of Pawan Hans.

Centre has called off the ongoing disinvestment of Pawan Hans and has denied a letter of intent in favour of the successful bidder due to a NCLT order pertaining to an IBC matter of the successful bidder.

The government had, on April 29, 2022, approved the highest bidder Star9 Mobility, a consortium of Maharaja Aviation, Big Charter and Almas Global Opportunity Fund as the successful bidder for sale of 100 per cent equity shareholding of the government in Pawan Hans. 

However, it was subsequently known that NCLT, Kolkata bench had issued an order against Almas in another case relating to a resolution plan under the IBC. DIPAM, in a notification, said that considering the adverse order of the NCLT, the Letter of Intent was not issued in favour of the successful bidder. 

The consortium had appealed against the NCLT order at NCLAT, who dismissed the plea and upheld NCLT’s order. The appellate tribunal also directed that the NCLT order be forwarded to MCA and IBBI for their consideration. Subsequently the IBBI has filed a complaint against the concerned consortium member in the special court. 

Meanwhile, in February, Pawan Hans commenced its helicopter services on six routes in Assam. These new helicopter services, under the RCS UDAN scheme, was launched to provide connectivity on the Dibrugarh-Jorhat-Tezpur-Guwahati-Tezpur-Jorhat-Dibrugarh network.

Also read: Pawan Hans divestment fails to take-off, Centre moves to scrap sale