Jet Airways CoC meets today to discuss bids

By Ankur Mishra

Lenders to Jet Airways will meet on Thursday to take a call on the revised resolution plan submitted by two suitors, sources close to the developments told FE.

The first bidder is a consortium comprising Haryana-based Flight Simulation Technique Centre, Mumbai-based Big Charter and Abu Dhabi’s Imperial Capital Investments. Similarly, the second consortium consists of Kalrock Capital and entrepreneur Murari Lal Jalan.

FE had reported earlier that two bidders had submitted “revised” resolution plans, as lenders were unhappy with the earlier proposals.

“We will evaluate revised resolution plan submitted by the bidders during committee of creditors (CoC) meeting on Thursday,” a senior bank official told FE. “We have been trying to negotiate with bidders to maximise value and avoid liquidation,” he further added.

Jet Airways had earlier attracted 12 expressions of interest (EoIs) from suitors, which was further narrowed down to two prospective applicants.

The deadline for completion of the Jet Airways insolvency resolution process was earlier extended beyond August 21 due to Covid-19. No fresh deadline has been announced by the RP yet due to the pandemic-related uncertainties.

The beleaguered aviation company has admitted claims of Rs 7,807 crore from financial creditors. The lead creditor, State Bank of India (SBI), has the highest admitted claims of Rs 1,636 crore, followed by Rs 1,084 crore from Yes Bank, `956 crore from Punjab National Bank (PNB) and Rs 594 crore from IDBI Bank, among others.

The National Company Law Tribunal (NCLT) had earlier admitted Jet Airways for insolvency proceedings on June 20, 2019.

In a move which was seen as sign of revival, Jet Airways reacquired six of its Boeing 777 from lessor Fleet Ireland last month, as per sources. The defunct airline had paid $13 million to take ownership of the six aircraft, which were impounded due to unpaid fees.