Jet lenders extend deadline till March 9 for bid submission

Our Bureau Mumbai | Updated on February 18, 2020

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Enso Group, along with Russian sovereign fund, expresses interest

With two entities seeking more time, the lenders to Jet Airways have decided to extend the deadline for the submission of resolution plans to March 9.

Enso Group, in a consortium with the Russian government-owned Far East Development Fund, met the Committee of Creditors (CoC) of the debt-strapped airline on Tuesday to express its interest. Prudent ARC also seems to be still in the race to acquire a stake in the airline.

South American conglomerate Synergy Group appears to be out of the race, as it has not put forward a resolution plan.

BusinessLine had reported that Prudent had asked for a month’s deadline extension as it was still evaluating the merits of investing in Jet Airways. The 270-day timeframe prescribed under the Corporate Insolvency Resolution Process (CIRP) will end mid-March.

At its meeting today, the CoC agreed to extend the deadline to March 9.

Greater clarity is seen to emerge after the next insolvency hearing of Jet Airways, scheduled for Wednesday. .

According to sources, the resolution process might go on at least till the end of this financial year. After that, there could be a decision on whether or not to liquidate the company’s assets.

Who’s the potential bidder?

Enso Group is promoted and chaired by Vinay Maloo. The 15-year-old entity operates across sectors such as solar, energy, mineral mining and healthcare. The group claims to have global operations with a net worth of $7 billion.

It has come forward with Russia’s Far East Development Fund, a state finance development institution which claims to warrant a flexible approach to projects’ structuring and financing. The fund has been instrumental in the setting up of several SME projects, along with tech and investment projects.

Once of the sources said the Far East Development Fund is likely to tie up with a Russian airline for its expertise in bidding for a stake in Jet.

Published on February 18, 2020

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