Wednesday, January 09, 2019

Banks propose $900 million turnaround plan for Jet: Report

Debt-laden Jet Airways Ltd's lenders proposed a $900 million resolution plan, according to a media report on Wednesday, citing sources familiar with the matter.
The financial woes of Jet, India's biggest full-service carrier by market share, worsened in 2018 amid rising oil prices and intense pricing competition in the Indian skies.
The resolution plan was shared with the airline's lessors and vendors at a meeting chaired by State Bank of India  and attended by the airline's senior management, including chairman Naresh Goyal and a representative of Etihad Airways PJSC, the report added.
Goyal and Etihad are likely to infuse $450 million together in Jet, while lenders will restructure another $450 million of its debt, the report quoted sources as saying.
If the plan is approved by all stakeholders, it will result in Naresh Goyal's stake falling below the current 51 percent, the report added.
09/01/19 Reuters/Economic Times