Monday, Jan 24, 2022
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Jet Airways Revival Plan: Airline Says In Advanced Talks With Boeing, Airbus For Buying Aircraft

Jet Airways has been acquired by the Murarilal Jalan-Kalrock Capital consortium under the insolvency resolution process. The ongoing discussions are part of the grounded airline's revival plan.

Jet Airways Revival Plan: Airline Says In Advanced Talks With Boeing, Airbus For Buying Aircraft
Jet Airways Revival Plan: Airline Says In Advanced Talks With Boeing, Airbus For Buying Aircraft -

Jet Airways, which is preparing to relaunch operations next year, on Friday said it is in ‘advanced discussions’ with Boeing and Airbus for buying and leasing planes.

The grounded airline has been acquired by the Murarilal Jalan-Kalrock Capital consortium under the insolvency resolution process.

The ongoing discussions are part of the grounded airline's revival plan approved by the Mumbai bench of the National Company Law Tribunal (NCLT), the airline said in a regulatory filing on Friday.

Shares of the airline jumped nearly 5 per cent to touch the upper circuit limit of Rs 90.80 in afternoon trade on the BSE.

"Its ( Jet Airways) successful resolution applicant is currently in the process of reviving the company and implementing the approved plan.

"As part of such revival, the successful resolution applicant (consortium) has been in advanced discussions since the approval date with aircraft manufacturers -- The Boeing Company and Airbus SE regarding the acquisition/ leasing of aircraft to recommence operations of Jet Airways in India," it said.

The filing came amid reports that the consortium partners were holding parleys with Boeing and Airbus for acquiring some 200 aircraft.

According to the filing, the discussions with Boeing and Airbus are in line with the approved plan and that "no fixed value can be determined as on date as the discussions are still ongoing".

The  discussions are in the ordinary course of business of the company as per its approved plan. The winning consortium continues to explore the best aircraft type that fits the requirements of the company as a full service carrier, the filing added.

Further, it clarified that the financials as mentioned by  a section of media "are purely based on speculative calculations for over 100 aircraft purchased as per industry standards."

Bogged down by financial woes, Jet Airways shuttered operations in April 2019.

Earlier in September, the grounded airline had said it will resume domestic operations in the first quarter of 2022. Murari Lal Jain had said that Jet Airways will also target short-haul international operations by Q3-Q4 of 2022.

“We plan to have 50 plus aircraft in three years and over 100 aircraft in five years. This also fits perfectly well with the short-and long-term business plans of the consortium. The aircraft are being selected based on a competitive long-term leasing solution,” Jalan had said.

(With PTI Inputs)

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