Shares of Jet Airways hit the 5% upper circuit on Friday after the Jalan-Kalrock consortium (JKC) infused an additional Rs 100 crore into the grounded airline, completing its financial commitment of Rs 350 crore per the court-approved resolution plan.
With this infusion, the winning bidder for the revival of the grounded carrier, JKC, is on its way to assuming control of the airline as all its commitments now stand fulfilled. The consortium’s strategy for the revival of the airline remains unchanged, and it is determined to re-establish the operations of the airline up and running in 2024.
As per Jet Airway’s shareholding data as of June 2023, Punjab National Bank (PNB) held 2.96 crore shares, aggregating to a 26.01% stake, and Naresh Goyal owned a little less than 25% in the airline. The international carrier Etihad Airways controls a 24% stake in the company, and Life Insurance Corporation (LIC) holds a stake of 2.14%.
Shares of Jet Airways closed at Rs 55.80, up 4.99% from the previous closing price on the National Stock Exchange (NSE).
Jet Airways was grounded in 2019 when it experienced a severe cash crunch, forcing it to file for bankruptcy protection. Once the largest private airline in the country, Jet Airways had an outstanding debt of Rs 18,000 crore.
National Company Law Tribunal (NCLT) approved the transfer of Jet Airways to the consortium led by Murari Lal Jalan and London-based Kalrock Capital in January 2023.