Share price of debt-struck Jet Airways fell more than 24 per cent in one month since it was grounded.
Share price of debt-struck Jet Airways fell more than 24 per cent in one month since it was grounded. The beleaguered airline halted its operations on April 17 after it the lenders refused to infuse additional cash needed for running operations. The stock declined 24.28 per cent to Rs 124.10 on BSE today from Rs 163.90 on April 18. The stock markets remained closed on April 17 on account of Mahavir Jayanti. On May 15, the share price touched a one-year low of Rs 120.25. The scrip of Jet Airways ended at Rs 124, down 2.65 or 2.09 per cent at the time of reporting. The market cap of the cash-starved company fell by Rs 451.26 crore to Rs 1,409.74 crore on BSE in the period under review.
Four top executives of the airline have made exit from the management earlier this week. Chief executive Vinay Dube, deputy chief executive Amit Agarwal, Company Secretary Kuldeep Sharma and Chief People Officer Rahul Taneja have submitted their resignation. In April, Independent Director Rajshree Pathy, Non-Executive and Non-Independent Director Nasim Zaidi as well as Whole Time Director Guarang Shetty had tendered their resignation amid ongoing trouble at the airline.
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Following a debt-recast plan, company founder Naresh Goyal and his wife and Etihad Airways’ nominee director Kevin Knight had already resigned in March. The consortium of lenders led by State Bank of India (SBI) are working to find a suitor for the debt-laden airline. The lenders have sought bids for 31-75 per cent stake in Jet Airways. The lenders shortlisted IndiGo Partners and TPG, Etihad Airways and National Investment and Infrastructure Fund (NIIF) after the starting round of bids.
Meanwhile, the BSE Sensex surged 537 points and the NSE Nifty reclaimed the 11,400 level Friday owing to rally in banking and auto stocks ahead of election exit poll results, even as global headwinds remain.