Saturday, February 22, 2020

Jet Airways crisis: Third round of EoIs invited after Russian interest, deadline till Sunday

The resolution professional (RP) of the grounded Jet Airways on Thursday invited expressions of interest (EoIs) for the third time since the airline went into insolvency in June 2019. The fresh round of EoIs comes after a Russian state-owned fund showed interest in the debt-laden airline.

The deadline for submission of EoIs is Sunday, subject to approval from Jet’s committee of creditors (CoC) and the adjudicating authority. A resolution plan has to be submitted by March 9, a company notification said. The RP expects to now submit a final resolution plan, if any, before the National Company Law Tribunal on March 15.
Earlier this week, FE reported that representatives of Russian state-owned Far East Development Fund met lenders to Jet Airways to discuss investing in the airline. The fund also suggested the possibility of Jet’s operations being synergised with that of Russian flag carrier Aeroflot. Mumbai-based Enso Group is in early stages of discussions to partner in the same.

Jet Airways was grounded in April last year after lenders had refused to extend emergency funding to continue operations. Few months later, State Bank of India took the airline to the insolvency court after lenders failed to sell it off. Under the corporate insolvency process, fresh bids were invited for the resolution of the airline. Since then, multiple entities have expressed interest, but so far none has taken talks forward. In the absence of promising bidders, lenders have also begun the process of partially monetising assets. The RP has been in talks with KLM Royal Dutch airlines to sell Jet’s erstwhile flight rights in Schiphol Airport, Amsterdam, along with a Boeing 777 aircraft. The 270-day timeline for Jet’s resolution will be over on March 15.
21/02/20 Financial Express
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