Jet Airways bidder seeks more time to sweeten offer; lenders give bidders a week to submit revised bids

September 30, 2020 7:00 AM

FE learned that lenders have given both bidders a week to submit revised bids. The second suitor is a consortium of Kalrock Capital and entrepreneur Murari Lal Jalan.

“We have given more time as one of the bidders approached us to increase its offer,” a banker close to the development told FE. “Both bidders can submit revised bids to lenders by next week,” he added.“We have given more time as one of the bidders approached us to increase its offer,” a banker close to the development told FE. “Both bidders can submit revised bids to lenders by next week,” he added.

By Ankur Mishra
A consortium comprising Haryana-based Flight Simulation Technique Centre, Mumbai-based Big Charter and Abu Dhabi’s Imperial Capital Investments has requested lenders to Jet Airways for more time to submit a better bid. FE learned that lenders have given both bidders a week to submit revised bids. The second suitor is a consortium of Kalrock Capital and entrepreneur Murari Lal Jalan.

“We have given more time as one of the bidders approached us to increase its offer,” a banker close to the development told FE. “Both bidders can submit revised bids to lenders by next week,” he added.

The committee of creditors meeting (CoC) is likely to be scheduled in October for opening revised bids. The two bidders had submitted resolution plans earlier this month. The CoC has allowed bidders to submit revised plans for value maximisation, as per sources.

Jet Airways had earlier attracted 12 expressions of interest (EoIs) from bidders, which was further narrowed down to two prospective suitors. The deadline for completion of the Jet Airways insolvency resolution process was earlier extended beyond August 21 due to Covid-19. No fresh deadline has been announced by the resolution professional (RP) yet due to the pandemic-related uncertainties.

The beleaguered aviation company has admitted claims of Rs 7,460 crore from financial creditors. The lead creditor, State Bank of India (SBI), has the highest admitted claims of Rs 1,636 crore, followed by Rs 1,084 crore from Yes Bank, Rs 754 crore from Punjab National Bank (PNB), and Rs 594 crore from IDBI Bank, among others.

The National Company Law Tribunal (NCLT) had earlier admitted Jet Airways for insolvency proceedings on June 20, 2019.

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