Jet Airways surges 32% in three days on revival hopes

A high-level meeting is learnt to have been fixed between the Hinduja Group and Etihad Airways on Thursday, May 23 in a bid to revive Jet Airways.

Shares of Jet Airways (India) continued their three-day gaining streak and rallied up to 9 per cent to Rs 164 apiece on the BSE during early morning trade on Wednesday on the back of heavy volumes being traded on the hopes of the airline's revivial.

The share has surged 32 per cent so far in this week.

At 10:11 am, the stock was trading 7.5 per cent higher at Rs 162 per share, as compared to a 0.27 per cent rise in the S&P BSE Sensex. A combined 15.65 million shares have already changed hands on the NSE and BSE counters till first hour of trade. On an average, an aggregate sub 20 million shares were traded on both the exchanges.

A high-level meeting is learnt to have been fixed between the Hinduja Group and Etihad Airways on Thursday, May 23 in a bid to revive the cash-strapped airline.

Top executives of State Bank of India (SBI), which leads the lenders’ consortium, will be present at the meeting to be held in Abu Dhabi, the corporate headquarters for Etihad, according to a Business Standard report. CLICK HERE TO READ FULL REPORT

Last week, top executives of Jet Airways had put in their papers, which included the company’s chief executive officer (CEO) . Robin Kamark, nominee director of Etihad Airways PJSC, also resigned as the company's director with effect from May 16, 2019.

Reports had suggested that Jason Unsworth-led Atmosphere Airlines and London-based AdiGro Aviation had submitted unsolicited bid for the airline. Besides, binding bid by Etihad Airways was also received by SBI-Cap.

Rajnish Kumar, chairman of State Bank of India (SBI), did say that many bidders have shown interest but stopped short of elaborating the names of the bidders.
 

“The bidding process is initiated by and managed by SBI Capital Markets Limited under a resolution plan undertaken by a consortium of domestic lenders led by SBI. The company is not involved in the bidding process and has no information with regard to same and is accordingly not in a position to comment,” Jet Airways has said in a statement.