SOURCE: BUSINESS STANDARD
Creditors to Jet Airways have approved a resolution plan which will give country’s oldest private carrier a new lease of life, the airline said in a regulatory filing yesterday.
The resolution plan submitted by a consortium of London-based Kalrock Capital and UAE-based businessmen Murari Lal Jalan was approved on Saturday, the filing said, while not revealing other details of the deal.
“The e-voting concluded today, i.e October 17,2020 and the resolution plan submitted by Murari Lal Jalan and Florian Fritsch has been duly approved by the CoC under section 30 (4) of the code as the successful resolution plan”, the resolution professional said in an exchange notification.
Jet Airways once operated a fleet of more than 120 planes serving dozens of domestic destinations and international hubs such as Singapore, London and Dubai.
In April 2019, Jet Airways – which operated a fleet of more than 120 planes serving dozens of domestic destinations and international hubs such as Singapore, London and Dubai – was forced to ground all flights, crippled by mounting losses as it attempted to compete with low-cost rivals.
Since then the airline and its lenders had been looking for suitors.
The airline’s financial and operational creditors were owed nearly $4.1 billion after the operations were halted.
Eighteen months after it shut down and sixteen months after it became the first airline company to be admitted under insolvency and bankruptcy code (IBC), Jet Airways is finally all set to make a comeback, albeit with a new owner – Kalrock Capital and Murari Lal Jalan.
