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Jet Airways: Banks to invite bids to facilitate sale of stake in troubled airline

Lender banks of Jet Airways said on Thursday that they will soon invite bids to facilitate sale of stake in the troubled airstrike. The bank released a press release and said that the bids will open on April 6 and close on April 9.

The step is being taken to prevent the airline getting grounded.

Jet Airways is currently struggling under huge debt because of which it is not able to pay salaries of its employees including pilots.

“The Lenders are cognizant that the outcome of the efforts of the Lenders will depend on the interest shown by the parties on sale of stake in the Company,” the banks said in a press statement.

The lenders however added that if the current resolution plan does not work then they will consider ‘other options’. The banks did not elaborate on what are these other options.

Some of the options that the banks can consider is declaring Jet Airways as bankrupt and taking it to National Company Law Tribunal (NCLT) for resolution under the Insolvency and Bankruptcy Code (IBC).

On Wednesday, Jet Airways said that it is operating on “curtailed schedule” but has enoungh number of aircrafts and it is complying with DGCA directives.

Pilots of Jet Airways wrote to aviation ministry and requested it to ensure that the airline pays their dues.

The pilots have also sought interest on their payment.

Source: indiatoday.in

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