Talks are underway with Etihad Airways, which currently owns 24 per cent stake in the airline, for additional equity, and with a State Bank of India-led group for conversion of debt to equity.
On Monday it said that it would seek shareholder approval next month to convert its existing debt to equity and increase the authorised share capital, as part of the efforts by the cash-strapped airline to resolve its financing problems. Enhancing authorised share capital, which the EGM would take up, would allow the company to issue fresh shares and convert loans to equity.