INSUBCONTINENT EXCLUSIVE:
Jet Airways said Naresh Goyal will cease to be the chairman of the company
Jet Airways founder
Naresh Goyal and his wife Anita Goyal on Monday resigned from the board of the airline they founded 25 years ago, clearing the way for an
immediate bailout of Rs 1,500-crore by lenders
Naresh Goyal's exit was a condition set by bankers for the rescue of the cash-strapped airline that has been struggling with grounded
fleet and mounting dues to banks, suppliers, pilots and lessors
The banks, led by State Bank of India (SBI), will convert their debt into equity and take a controlling stake in the airline for a token sum
Here are 10 things to know:Naresh Goyal will no longer be the chairman of the company, Jet Airways said
The airline also announced that the lenders would have two nominee on the board.The report of Naresh Goyal's departure led to a rally in
Jet's shares amid heavy volumes
The Jet Airways stock closed 13 per cent higher, outperforming the broader market which settled around 0.9 per cent lower amid global growth
concerns.Over 33 lakh shares changed hands on the BSE compared with an average of 9.4 lakh shares traded daily in the past two weeks.The
lenders, led by State Bank of India (SBI), will convert their debt into equity and take a controlling stake in the airline for a token sum
that the process is expected to be complete by the end of June.In its regulatory filing post-market hours on Monday, Jet Airways said it had
constituted an Interim Management Committee to manage and monitor its daily operations and cash flow.Kevin Knight, nominee of Etihad Airways
PJSC, also resigned as director from the airline's board, Jet Airways said.The exits come days after reports that the government has asked
state-run banks to bail out Jet Airways for the moment to prevent the airline going bankrupt.Saddled with more than $1 billion of debt, Jet
has struggled to stay afloat
Several lessors have started terminating leases with the carrier.Jet Airways has a fleet of 119 aircraft
Of these, 54 aircraft have been grounded due to non-payment of dues, sources told TheIndianSubcontinent
was India's top private airline is grounded for various reasons.Aviation regulator DGCA or Directorate General of Civil Aviation had last
week said that only 41 of the airline's aircraft were operational.(With agency inputs)Get the latest election news, live updates and
election schedule for Lok Sabha Elections 2019 on TheIndianSubcontinent.com/elections
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