Jet Airways Saga: Lenders Make Contingency Plan In Case Of No Bids

Mumbai: As the official bidding deadline for Jet Airways nears, its lenders are said to be preparing a contingency plan to allow certain parties, including a group of airline employees who have shown interest in taking over the airline, a chance to present their case.

According to banking industry sources, the step will not come into force until the passing of the official deadline of 6.00 p.m. on May 10.

“We have made it very clear since the start that May 10 is the deadline for the four selected entities to send in their binding bids,” a senior official said.

“Till the end of that deadline, no new option will be applied or any other entity allowed to bid. However, if no binding bids are received, then the unsolicited bids might be scrutinized.”

Lenders of the airline led by state-run State Bank of India (SBI) are currently in the process of selling the airline to recover their dues of over Rs 8,400 crore.

Private equity firm TPG Capital, Indigo Partners, National Investment and Infrastructure Fund (NIIF) and Etihad Airways are in the race to buy a stake in the now grounded Jet Airways.

Another source said that a travel and tour operators association has approached lenders with an offer to invest Rs 250 crore in the airline.

Besides the association, a section of Jet Airways employees and numerous domestic and international entrepreneurs have evinced interest in investing in the grounded airline. (IANS)

Also Read: BUSINESS