Jet Airways to fly again under new owners Kalrock Capital and Murari Lal Jalan
19 Oct 2020
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Creditors to bankrupt Jet Airways has approved the resolution proposal put forward by a consortium of Kalrock Capital and Murari Lal Jalan, sixteen months after the airline was brought under insolvency and bankruptcy code (IBC).
The Naresh Goyal-founded Jet Airways is all set to make a comeback with a new owner – Kalrock Capital and Murari Lal Jalan, according to a report by Money Control.
Jet Airways, once India’s biggest private airline, hasn’t flown since 17 April 2019 after it halted flights due to an acute cash crunch. UK-based Kalrock Capital and UAE-based entrepreneur Murari Lal Jalan received the mandate to revive and operate the airline over a year after the carrier was grounded.
"The e-voting concluded today, ie, October 17, 2020 and the resolution plan submitted by Mr Murarilal Jalan, and Mr Florian Fritsch have been duly approved by the CoC (Committee of Creditors) under Section 30(4) of the Code as the successful resolution plan," Ashish Chhawchharia, the resolution professional appointed by the lenders of the airline said in a stock exchange filing.
Jet Airways, which was grounded in April 2019, will fly again with the lenders voting for the revival proposal of the Kalrock Capital-Murari Lal Jalan consortium, the report said citing resolution professional Ashish Chhawchharia.
“The resolution professional is in the process of filing an application in accordance with Section 30 (6) of the code for approval of the said resolution plan by the Hon'ble NCLT and intimation of the same shall be given to the members as required,” Chhawchharia told Money Control.
Kalrock Capital was founded by Florian Fritsch, a European entrepreneur. Over the years the company has invested in real estate and renewable energy. Whereas, Murari Lal Jalan is a Dubai-based businessman who has investments in diverse sectors like real estate, mining, trading and FMCG.
The resolution professional will now submit the plan to the National Company Law Tribunal, which will subsequently give its nod for the new owners to take over the airline.
The other consortium comprised Haryana-based Flight Simulation Technique Centre, Mumbai-based Big Charter and Abu Dhabi’s Imperial Capital Investments LLC.
The new owner of the airline is set to face several challenges to turn around Jet Airways, which include its massive debt, dues to employees, airports, ground handlers and others.
