At present, the grounded airline is under the insolvency resolution process of the National Company Law Tribunal (NCLT).

AdiGroup employee consortium to bid for acquisition of 75 of Jet Airways
news Jet Crisis Saturday, June 29, 2019 - 07:52

London-based AdiGroup along with Jet Airways Employee Consortium have partnered to bid for 75 per cent stake of Jet Airways under the insolvency resolution process.

At present, the grounded airline is under the insolvency resolution process of the National Company Law Tribunal (NCLT).

The AdiGroup and Jet Employees Consortium combine is confident of reviving the airline by successfully bidding for the airline under the process.

AdiGroup Chairman Sanjay Viswanathan said the combine expects a likely investment of Rs 2,500 crore-Rs 5,000 crore. Nonetheless, he said the exact figures will be reached once complete financial details about the company's liability emerge.

However, he did not reveal the source of funding, but said that AdiGroup will hold 49 per cent followed by employees consortium's 26 per cent and the rest will be handed to Indian lenders.

According to Viswanathan, feelers have been sent to the NCLT about the combine's forthcoming bid via the resolution professional.

"We are confident that DGCA, lender group (Indian and Foreign), operational creditors and aircraft lessors will be flexible and benign to catalyze our 'Turnaround Plan' for Jet Airways. We will more than recompense them for this leap of faith in our partnership," Viswanathan, said.

Under the NCLT process, the resolution professional will first finalise a list of genuine claimants of due money from Jet. It has asked all to submit claims before the IRP by July. 

A committee of creditors will then be formed which will invite expression of interest (EoI) from potential bidders. If a bid is approved by a majority of CoC members, only then resolution can move ahead. A formal concurrence from the NCLT, though, will be required.

Capt. Ashwani Tyagi, Commander Boeing 777, General Secretary-Society for Welfare of Indian Pilots, and one of Jet’s senior-most pilots who has been with the Airline for 18 years said, “Jet Airways has been family to me. My colleagues across rank and file of the Airline have worked closely with me through the years to provide incredible joy and satisfaction to millions of passengers who flew with us every day. We are delighted that AdiGroup stepped up to partner with us in this challenging yet exciting journey to revive Jet Airways.” 

With IANS inputs

Become a TNM Member for just Rs 999!
You can also support us with a one-time payment.