Jet Airways Revival: Shares Gain 5% After Jalan-Kalrock Infuses Rs 100 Cr Into Cash-Strapped Airline

Jet Airways Revival: The share price of Jet Airways gained 5% in the intraday trading on Friday after Jalan Kalrock Consortium (JKC), the winning bidder for the revival of the grounded carrier infused an additional Rs 100 crore into the airline, in a bid to revive the now-defunct carrier.

Jet Airways shares were up 5% at Rs 55.91 at 12:45 pm IST today. With the latest fund infusion, JKC has fulfilled its financial commitment of Rs 350 crore ($42.1 million) equity in line with the court-approved resolution plan, and all commitments by JKC now stand fulfilled to take control of the iconic airline, said the press statement issued by the airlines.

On Friday, the consortium said, "With this infusion, Jalan-Kalrock consortium has now fulfilled its total financial commitment of ₹350 crore equity as per the court-approved resolution plan, and all commitments by JKC now stand fulfilled to take control of the iconic airline. The consortium's strategy to revive the airline remains unaltered."

"The new promoters are determined to re-establish the operations of the airline up and running in 2024. Further announcements regarding the launch date of Jet Airways will now be made in the coming weeks," it added.

On August 28, the National Company Appellate Tribunal (NCLAT) gave the Jalan-Kalrock consortium a timeline until 30 September to clear dues worth Rs 350 crore to lenders of the grounded airline.

Jalan Kalrock also expressed its intention to have Jet Airways up and running in 2024.

Any announcements concerning the launch date of Jet Airways are expected to come in the coming weeks.

Jet Airways suspended its operations in April 2019 over growing losses and a debt of about Rs 8,000 crore. In October 2020, the airline's CoC gave a nod to the revival plan submitted by the Jalan-Kalrock consortium.

The consortium had infused Rs 100 crore into Jet Airways last week as well.