Will Air India become N. Chandrasekaran’s Corus?

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Editor's note: The similarities are uncanny. Nearly 14 years ago, Tata Sons chairman Ratan Tata was the force behind a decision of the Tata Steel management, led by managing director B. Muthuraman, to acquire Corus for $13 billion. Tata had wanted the group’s steel business to be global and Corus made that possible. Formed through the merger of British Steel and Koninklijke Hoogovens of the Netherlands, Corus was steeped in legacy and bureaucracy issues.  The acquisition, despite being expensive, seemed to make a lot of sense. Tata Steel became the sixth largest steel producer in the world and got access to a developed market that promised high margins.  That rationale, however, melted within two years. To date, it remains India Inc.’s largest overseas acquisition. And, possibly its biggest blunder. Tata Steel’s present managing director and global chief executive officer T.V. Narendran and group chief financial officer Koushik Chatterjee remain engaged in a constant endeavour to find buyers and shed what is left of a storied name in the global steel industry. The company itself has spent the last decade coming to terms …