According to the Money control website The Kalrock Capital-Murari Jalan consortium winning the bid for Jet Airways as part of the resolution plan is just the beginning of many steps that are needed for the airline to re-start flying! While the news created buzz that this would be a second lease of life for the airline which suspended operations in April 2019, the road remains as tough as it has ever been…
The real question for the airline to get back will be money, planes and slots! With a debt of over Rs 8,000 crore – the first ask would be to restructure the debt and ensure that it is sustainable. Times have changed and even a cash-rich airline like IndiGo has resorted to sale and leaseback along with plans to raise money. Recovery is a few years away and while the 120 plus-aircraft airline couldn’t earn enough to service its debt obligations in the hay days, the going will be much tougher with a smaller fleet and challenging market condition.
Ashish Chhawchharia (Resolution Professional for Jet Airways) has given Notice to the Employees & Workmen of Jet Airways (India) Limited that
I am writing to communicate to you on the status of the corporate insolvency resolution
process (“CIRP”) of your beloved company- Jet Airways (India) Limited.
When I last communicated with you, the two (2) Resolution Plans were submitted for the
CoC members’ consideration on October 03, 2020 and following the provisions of the
Insolvency and Bankruptcy Code, 2016 (“IBC”), these Resolution Plans were put for
voting by the CoC members.
The voting lines closed on October 17, 2020 at 01.00 pm and the Resolution Plan
submitted by the Consortium of Mr. Murari Lal Jalan and Mr. Florian Fritsch (“JalanKalrock plan”) has been duly approved by the CoC under section 30(4) of the Code as
the successful resolution plan.
As next step, I will be filing an application in accordance with section 30(6) of the Code
for approval of the Jalan-Kalrock plan by the Hon’ble NCLT after some necessary
formalities are completed. As and when the resolution plan is approved by the NCLT, the
process of the implementation of the plan shall be initiated by the successful applicant.
We are now one important step closer to a successful resolution and to make Jet Airways
I shall keep you posted on the progress.
Approval Notices Click here
View Document click here