Bankers ask Kingfisher to infuse Rs 800 cr fresh equity

Mumbai: A crucial board meeting of Kingfisher airlines Monday night finalised the financial results of the cash-strapped carrier which has been asked by its lenders to infuse Rs 800 crore worth of fresh equity.
The airlines would Tuesday file its financial results for the second quarter of 2011-12 approved by the board which met for over 10 hours here.
Kingfisher chief Vijay Mallya will hold a press conference here Tuesday at 12 noon.
Monday's meeting is understood to have discussed various options of restructuring existing debt.
There was also speculation that a rejig of the management may take place but there was no official word on this from the airlines.
Bankers Monday made it clear that Kingfisher's promoters will have to infuse Rs 800 crore worth of fresh equity if they are to consider a second restructuring of existing debt even as opposition mounted to any bailout of the private carrier.
The bankers have asked the troubled airline to come out with a "credible" plan.
The lenders--a 13-bank consortium led by SBI, who were yet to decide on ways to soften the troubled airline's Rs 7057.08 crore debt burden, are due to meet Kingfisher management here Tuesday.
15/11/11 PTI/ZeeNews.com

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Categories: Kingfisher Nov 2011