Jet Airways to get Rs600cr emergency loan: Media report

The airline company may get a loan from banks led by State Bank of India

Feb 15, 2019 08:02 IST India Infoline News Service

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Jet Airways, a cash-strapped airline company, is all set to receive an emergency loan of ~Rs600cr to help it tide over a cash crunch, a Business Standard report said.

As per the report, the airline company may get the loan from banks led by State Bank of India against shares pledged by founder and Chairman Naresh Goyal and partner Etihad Airways PJSC and backed by their guarantees. The company may make a disclosure after its extraordinary shareholder meeting scheduled for February 21, the report said.

Meanwhile, the company’s board considered and approved a Bank-Led Provisional Resolution Plan (BLPRP), the company said in a press note after market hours to the exchanges.

"The BLPRP proposes restructuring under the provisions of the RBI Circular in order to meet a funding gap of nearly Rs8,500cr, which is to be met by an appropriate mix of equity infusion, debt restructuring, sale and leaseback/refinancing of aircraft, among other things," the company said in a press note.
Jet Airways (India) Ltd's share price ended at Rs225.80, up by Rs2.2 or 0.98%, from its previous close of Rs223.60 on the BSE.
The scrip opened at Rs224.35 and touched a high and low of Rs230.40 and Rs212.10, respectively. A total of, 92,71,504 (NSE+BSE) shares have been traded on the counter. The current market cap of the company is Rs2,565.09cr.

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