![]() The existing out-of-job employees of the airline will be keenly watching developments here on.Important: In this genuine article we share the good, the bad and the ugly of. There's another factor that may influence the Hindujas' interest in Jet Airways - the brothers have not only stuck to a majority stake in the companies they own but have also kept away from companies that are embroiled in ownership disputes or hostile takeovers. The stakes sales were eventually scrapped but the Group had reportedly been disqualified from the bidding process due to the brothers' alleged involvement in the Bofors scam. The government had simultaneously put up 26% of Indian Airlines for sale, and the Hindujas had shown interest along with Videocon International. It was reportedly the only bidder apart from a consortium of Tata Sons and Singapore Airlines to show interest in the Maharajah. In 2001, the Hinduja Group had bid for Air India, when the government had put up 40% of the carrier for sale in its maiden attempt at privatisation. However, even if these cuts come through, investors estimate that Jet Airways will need up to Rs 20,000 crore over the next three years to fly again. The lenders have reportedly said they want to rework all lease and engineering contracts of the grounded airline, halve lease rentals and demand a significant reduction in maintenance reserves. As things stand, turning around the now wingless Jet Airways is not for the fainthearted, or the tight-fisted. It was also non-committal about taking on Jet Airways' liabilities and had asked banks to take a 70-80% haircut on the airline's debt. "Amongst other requirements, additional suitable investors would need to provide the majority of Jet Airways' required recapitalisation," the spokesperson added.Īccording to the daily, Etihad has not only refused to increase its current shareholding but also said it would invest only up to Rs 1,700 crore in the airline. However, the Gulf carrier reiterated that it couldn't be expected to be the sole investor in Jet. "Etihad Airways today confirmed its interest to re-invest in a minority stake in India's Jet Airways, subject to conditions," an Etihad spokesperson said earlier this week, pointing out that India was one of the world's fastest-growing air transport markets and a significant economic partner of the UAE. ![]() Of the four entities that had submitted expressions of interest, Etihad, which owns 24 per cent of Jet Airways and is the second largest stakeholder, was reportedly the only one to submit a bid on Friday. ![]() The SBI-led consortium of 26 lenders had then initiated a bidding process to sell stake in the airline to recover some of its Rs 8,500 crore dues. Back in March, the lenders had taken control of the company's board after founder Naresh Goyal and his wife exited the company. Jet Airways had grounded operations on April 17 after banks refused an emergency infusion of Rs 400 crore requested by the airline in order to continue services. ![]()
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