On a wing and a prayer

Reviving Jet and then selling won't be easy for lenders

Naresh Goyal’s departure from the Jet Airways board and the halving of his and partner Etihad Airway’s shareholding to 25 per cent and 12 per cent, respectively, to make room for banks to take a controlling stake has only postponed the day of reckoning for this former market leader. Monday’s announcement said lenders to the airline, led by State Bank of India, had agreed to take a little over 50 per cent stake in the airline.

The stake issued to the banks will be valued at Rs 1 on their books. Banks will also immediately pump in about Rs 1,500 crore into the airline. A ...

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Read our full coverage on Jet Airways
First Published: Mon, March 25 2019. 23:58 IST