Jet Airways Bid Deadline Extended Again With Liquidation Looming
Both firms shortlisted as potential buyers for Jet Airways India Ltd. missed the bidding deadline Monday.
(Bloomberg) -- Both firms shortlisted as potential buyers for Jet Airways India Ltd. missed the bidding deadline Monday, forcing another extension with just weeks to go until they hit a key liquidation trigger.
Prudent ARC Ltd. and Synergy Group Corp. now have until March 9 to bid for the bankrupt airline, said a person familiar with the matter. While creditors are also considering allowing other firms who hadn’t made an initial expression of interest, creditors would have just about a week from the new deadline to assess any bids, the person said, asking not to be identified citing confidentiality.
Indian law forces creditors to push Jet into liquidation if they don’t agree on a resolution plan by around March 16, short of a court ruling against the move. Once the largest Indian carrier by passengers, Jet’s fall into bankruptcy last year is emblematic of India’s aviation market that’s struggling under piles of debt and cut-throat margins.
Prudent and Synergy sought more time to bid, the person said. Documents they’re yet to submit to support their expression of interest include details of the consortia both are seeking to create, as neither has formed a bidding group yet, the person said.
Ashish Chhawchharia, the court-appointed resolution professional overseeing the Jet Airways bankruptcy, didn’t immediately respond to requests for comment. Calls to the listed office phone of German Efromovich, founder of Synergy Group, were unanswered outside of business hours in Brazil. A spokesman for Prudent ARC didn’t reply to a call.
To contact the reporter on this story: Bijou George in Mumbai at bgeorge66@bloomberg.net
To contact the editors responsible for this story: Andrew Monahan at amonahan@bloomberg.net, Jeanette Rodrigues
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