Companies

Jet Airways in talks with multiple investors, says CEO

Varun Agarwal Mumbai | Updated on November 20, 2018 Published on November 20, 2018

Vinay Dube, CEO, Jet Airways   -  Bijoy Ghosh

It’s not just Tata Sons. Jet Airways on Tuesday said that it is in talks with various investors to secure sustainable financing to tide over the ongoing stress in the company.

“We are in active discussions with various investors to secure sustainable financing to navigate through the current headwinds and create long-term growth. There is interest in our strong brand and confidence in business turnaround efforts,” Vinay Dube, Chief Executive Officer, said in a newsletter to its stakeholders.

Dube added that the airline is reviewing its network and is deploying aircraft on more profitable, productive and economically efficient routes.

Tata Group, which already owns stakes in two airlines, on Friday informed that it is interested in buying a stake in the full-service carrier, but no proposal has been made so far.

Last week, Jet announced its Q2 results for FY 2019 with a net loss of ₹1,261 crore. “The tough operating environment for the aviation industry continues to impact us. However, the company’s efforts to reduce costs have been reflecting on their business, which has yielded over ₹500 crore of savings in the first half of FY2019.” Dube added.

The Naresh Goyal-led airline announced that it has added 18 additional frequencies on domestic and international routes to meet growing demand from travellers along with new services to Singapore via its hubs in Mumbai, Delhi and Bengaluru.

New frequencies

The airline also informed that early-December it will add new frequencies on other select destinations such as Bangkok, Kathmandu and Singapore, Doha and Dubai in the Gulf, in view of the growing demand.

“Jet Airways will take delivery of another six new Boeing 737 MAX aircraft this fiscal and will leverage the same for better cost efficiency,” Dube said.

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Published on November 20, 2018
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