Sanjay Singh / New Delhi
Even as the SBI Caps is in talks with unsolicited bidders of Jet Airways including Mumbai-based Darwin Group and London’s AdiGro Aviation to bring in equity and additional funds, a group of airline’s employees in their mail to SBI Caps said they are in talks with investors to raise $700 million that will be used to revive the cash-strapped airline.
In a mail to SBI Caps sent last week and signed by office bearers and representatives of Jet Aircraft Maintenance Engineers Welfare Association (JAMEWA) and Society for Welfare of Indian Pilots assured that its’ resources are at their disposal and urged SBI Caps to get back to them if they can be of any help.The employees had earlier this month met officials of SBI Caps, to present their proposal.
The employees have requested SBI Caps for helping them with required information that will help them in the fundraising process. The employees have also urged details of Jet Airways’ assets and valuation, their financial liabilities, debt and expenses and the equity that would come in if employees bring in $700 million.
Recently, Abu Dhabi-based carrier,Etihad Airways, which was one of the shareholders of Jet Airways was the only shortlisted bidder to put in a proposal. However Etihad wanted to retain only a minority stake in the airline and with many riders, which was seen a difficult case to deal with by the SBI Caps.
Etihad had also committed to invest Rs 1,700 crore in Jet Airways. However that is not enough to the funding gap in Jet, which owes over Rs 8,000 crore to banks and other lenders, employees and vendors.
It has also committed to invest Rs 1,700 crore in Jet Airways. But that is not enough to plug the funding gap in the Indian airline, which owes more than Rs 8,000 crore to banks and many more to lenders, vendors and employees.
ENDS—