Jet Airways likely to hit runway again of July 1: AdiGro

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Jet Airways likely to hit runway again of July 1: AdiGro
Jet Airways likely to hit runway again of July 1: AdiGro

New Delhi : London-based AdiGro Group, which own AdiGro Aviation, has offered to restart the operations of grounded Jet Airways by July 1. In the offer it mentions that the company will restart functioning with eight to nine thousand employees and 70 aircraft.

Sanjay Viswanathan, Founder and Chairman of AdiGroup expressed his keenness to partner with Etihad Airways and turn around the 25 year old airline which had shut its operations on April 17.

In its agenda, the company has cleared that it will primarily focus on the balance sheet management and not operating it as a lifestyle company.

Viswanathan said that the company wants its top leadership will need to take a 25% pay cut while the other employees will have to give up 10%, and in return they will be offered ESOPs.

"We have asked for a relevant and practical haircut, but more importantly, we are actually giving equity upside. Our binding bid has an equity component for the lender group, which means that not only will they recover their money, but also get a significant upside once our turnaround plan is executed," he told The Hindu Business Line.

Viswanathan also told the news daily that AdiGro Aviation has "put in a binding bid" to revive Jet for which the company has been in constant touch with Etihad. "We need approximately ?5,000-6,000 crore (to resurrect the airline). It's [the assumption] based on our discussions with Etihad and SBICaps so far," he said.

Since, AdiGro is a foreign company and as per Indian rules, any foreign company cannot acquire more than 49% of the stakes of a domestic company.