GoAir May Raise Funds To Repay Debt

GoAir is planning to raise close to R1,100 Cr ($200 Mn) in equity to pare debt.
The airline is planning to enter into an equity deal with PE firms with fixed return on investments.
GoAir had debt of over R600Cr, according to 2010-11 ROC filings, and it plans to retire a part of its debt through raising these funds by offering some of the group's real estate assets as collateral.
However MD Jeh Wadia said the airline is well capitalized and is not looking for equity infusion but the fund raising intentions can be ascertained from the fact that the company increased the authorized share capital from R150 Cr to R170 Cr at an EGM in May this year and it had been receiving enquiries from investors post the purchase order of 72 Airbus jets placed with Pratt & Whitney worth $7 Bn last year.
19/07/12 Pritosh Gajjar/Deal Curry.com

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Categories: GoAir Jul 2011