Jet Airways is expected to receive financial offers from two of the shortlisted companies before the July 21 deadline.
Information sources indicate that the consortium of flight simulation technology center Pvt Ltd (FSTCPL), Big Charter Pvt Ltd (BCPL), and Imperial Capital Investments LLC (ICIL) is expected to make a financial offer.
The other consortium, consisting of financial advisory firm Kalrock Capital and Murari Lal Jalan, a UAE-based entrepreneur, is also likely to make a binding offer to invest in Jet.
Due to the ongoing Covid-19 pandemic and travel restrictions, the two consortia are likely to submit a copy of the offer.
The other two shortlisted companies may not be able to advance their expression of interest.
According to sources, Canadian entrepreneur Sivakumar Rasiah was unable to find an Indian partner, and Alpha Airways from Kolkata was unable to continue its plans to invest in jet investments.
Jet Airways, which was brought to its knees in April 2019, was pulled to NCLT in June 2019 for unpaid fees. As part of the NCLT-led process, Jet’s settlement professional was given a deadline of August 31 to prepare a settlement plan for Jet Airways.
Jet Air creditors extend the offer period until July 21
“The global aviation Industry is struggling and, Jet in the thick of the pandemic, has been able to invoke good investor interest. If all stakeholders can now work in unison to find a resolution for Jet, it will be an unprecedented achievement in the global aviation space. Further, exposures in the aviation sector are entirely not asset-backed – leasing of aircraft being one major item. Thus, resolution will have to be the preferred over recovery as a yardstick,” said Rajesh Prasad, the Chief Strategy Officer at Jet Airways.
A banker said that if Jet Airways fails to find an acceptable solution this time, it will most likely be liquidated.
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