Jalan-Kalrock to infuse Rs1,375 cr in Jet Airways
New Delhi, July 1
Jalan-Kalrock consortium, the winning bidder for the grounded Jet Airways, will make a cash infusion of Rs 1,375 crore in the airline and lenders will take a steep haircut on their admitted claims of over Rs 7,800 crore under the approved resolution plan.
The National Company Law Tribunal (NCLT) on June 22, approved the consortium’s resolution plan for Jet Airways, which has been undergoing insolvency resolution process since June 2019. The carrier shuttered operations in April 2019.
The consortium has proposed a total cash infusion of Rs 1,375 crore, including Rs 475 crore that will be used for payment to stakeholders, including financial creditors.
An amount of Rs 900 crore would be invested for capital expenditure and working capital requirements for smooth functioning of the airline, as per the detailed order published by the tribunal on Wednesday.
The amount of Rs 475 crore includes CIRP (Corporate Insolvency Resolution Process) costs. — PTI
Financial creditors to get Rs 380 crore
- The NCLT on June 22 approved the consortium’s resolution plan for Jet Airways, which has been undergoing insolvency resolution process since June 2019
- The consortium has proposed a cash infusion of Rs 1,375 crore, including Rs 475 crore that will be used for payment to stakeholders, including financial creditors
- As per the resolution plan, assenting financial creditors would get Rs 380 crore, which means a haircut of 95% compared to the admitted claims of a little over Rs 7,807 crore
