Jet Airways Fails To Attract Any Bids

Two investors who had shown an early interest in the airline have withdrawn from the process, while one has been seeking preferred treatment from the creditors, which they cannot provide, two people with direct knowledge of the developments told BloombergQuint on the condition of anonymity.

Prudent Asset Reconstruction Company Ltd. and Russia’s Treasury RA Creator have decided that they will not be going ahead with the bidding process, the people quoted earlier said.

South American conglomerate Synergy Group, which has been part of the Jet Airways bidding process since the beginning of the insolvency proceedings, has sought special slots at international airports, the people cited earlier said. As creditors do not have the rights to extend airport slots, the bid is not likely to materialise, they said.

On Thursday, the committee of creditors will meet and finalise the closure of the bidding process, after which, resolution professional Ashish Chhawcharia will decide on the next step, which could include filing for liquidation of the beleaguered airline.

Jet Airways, which stopped flying in April 2019, has been searching for an investor for nearly two years. Financial creditors have submitted nearly Rs 8,500 crore worth claims, while operational creditors are seeking nearly Rs 16,000 crore, under the insolvency proceedings.