Jet Airways spurts on buzz chairman to step down

Jet Airways (India) rose 5.25% to Rs 234.50 at 11:40 IST on BSE on media reports that Naresh Goyal has agreed to step down as chairman of the company to allow a debt recast plan.

Meanwhile, the S&P BSE Sensex was up 175.80 points, or 0.49% to 36,043.24.

On the BSE, 6.40 lakh shares were traded in the counter so far compared with average daily volumes of 7.53 lakh shares in the past two weeks. The stock had hit a high of Rs 238.40 and a low of Rs 230.35 so far during the day. The stock hit a 52-week high of Rs 759.90 on 1 March 2018. The stock hit a 52-week low of Rs 163 on 1 October 2018.

Media reports suggested that founder Naresh Goyal has agreed to step down as the chairman of Jet Airways (India)'s board as the lenders gear up to acquire majority stake in the airline under a bailout plan.

Meanwhile, Jet Airways (India) announced after market hours yesterday, 28 February 2019, that an additional six aircraft have been grounded due to non-payment of amounts outstanding to lessors under their respective lease agreements. As mentioned earlier, the company is actively engaged with all its aircraft lessors and regularly provides them with updates on the efforts undertaken by the company to improve its liquidity. Aircraft lessors have been supportive of the company's efforts in this regard. The company is also making all efforts to minimize disruption to its network due to the above and is proactively informing and re-accommodating its affected guests. The company also continues to provide required and periodic updates to the Directorate General of Civil Aviation in this regard.

Jet Airways (India) reported net loss of Rs 587.77 crore in Q3 December 2018 as against net profit of Rs 165.25 crore in Q3 December 2017. Net sales rose 1.02% to Rs 6147.98 crore in Q3 December 2018 over Q3 December 2017.

Jet Airways is India's premier international airline, currently operates flights to 56 destinations, including India and overseas.

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