Anil Agarwal’s U-turn on August 12, just two days after submitting an expression of interest (EoI), and the lack of clarity on remaining two suitors, have raised questions on the revival of Jet Airways.
The airline had suspended operations in April.
August 10 was the deadline to submit an EoI for the airline. Three suitors emerged. Volcan Investments, the family trust of Vedanta Chairman Anil Agarwal, was the only one to have confirmed interest. The other two names doing the rounds are Russian treasury fund RA Creator and Panama-based Avantulo Group.
As Moneycontrol had reported earlier, Etihad Airways and Hinduja Group didn’t show any interest. Etihad on August 12 said ‘unresolved issues’ were behind its decision.
Also, a Jet Airways’ employee consortium and AdiGro Aviation, which had expressed interest in bidding for the plan, hasn’t met the deadline.
The nature of the remaining two suitors — little is known about them, or their interest in aviation — has led to apprehensions on how the bidding process will eventually pan out.
“With no real interest from potential buyers in Jet Airways, the administrator may seek to fast track sale of individual assets to extract greater value or recovery for creditors. The outcome of the EoI process is a reflection of the complexity of processes under IBC and reluctance of known or major investors to enter this space,” said Manish Raniga, an aviation management consultant.
13/08/19 Prince Mathews Thomas/Moneycontrol.com