Jindal Power, which had submitted an Expression of Interest for Go First, will not submit a final bid and plan for the airline, said sources. On the other hand, the committee of creditors will meet tomorrow to discuss the way forward for the airline. However, sources have said, lenders are not inclined to restart the bidding process again.
Go First filed for voluntary insolvency in May. The Resolution Professional called upon investors to express interest in the airline’s bidding process as part of its resolution efforts. Jindal Power emerged as the sole successful applicant, with their expression of interest (EoI) accepted by banks.
However, sources at Jindal Power said that the EoI was filed merely “to assess the airline’s valuation and gain access to company data. After careful evaluation, Jindal Power has chosen not to proceed with an official bid.”
“We do not have a plan from Jindal Power yet,” said one of the lenders.
Jindal Power and GoFirst’s Resolution Professional, Shailendra Ajmera did not respond to businessline’s query.
The future course of action, including the potential initiation of the liquidation process, is under consideration, as per insider sources.
Lenders have started the valuation process of a land parcel held as collateral with lenders. This assessment is anticipated to conclude within a month, according to another banker involved in the process.
“The CoC hasn’t met for a very long time now. The RP will brief us tomorrow about the current status, but I can tell you that unless there is a potential plan or a serious bidder, lenders are not inclined towards restarting the process again. We are hedged,” said the second lender.