Boeing 737 MAX planes restricted in Indian airspace following Ethiopian crash

  • Indian civil aviation ministry had stated late on Tuesday that it would ground 737 MAX immediately.
  • Jet Airways Ltd and SpiceJet Ltd, two top Indian airlines, operate Boeing 737 MAX 8 aircraft.
  • It has not detailed the types involved, but FlightRadar24 data shows its five once-active 737 MAX jets were grounded before the Ethiopian crash.

By ReutersTFMNews

BENGALURU (Reuters) – India will not allow U.S. plane maker Boeing Co’s 737 MAX aircraft to enter or transit its airspace after 1030 GMT, the ministry of civil aviation said on Wednesday, following the fatal crash of a plane of the same type in Ethiopia on Sunday.

“The time line is to cater to situations where aircraft can be positioned at maintenance facilities & international flights can reach their destinations,” the ministry said in a tweet.

Indian civil aviation ministry had stated late on Tuesday that it would ground 737 MAX immediately.

Jet Airways Ltd and SpiceJet Ltd, two top Indian airlines, operate Boeing 737 MAX 8 aircraft.

SpiceJet suspended operations of the 737 MAX after the regulators decision to ground the aircraft, the airline’s spokesman stated on Wednesday.

It expects to complete grounding of the Boeing jets by the 1030 GMT deadline. The airline has 13 737 MAX jets in its fleet, according to FlightGlobal.

Jet Airways, in a response to customer queries on Twitter, said it was not flying the 737 MAX.

The airline, which is struggling financially, has said that 32 of the planes in its fleet have been grounded for non-payment to lessors.

It has not detailed the types involved, but FlightRadar24 data shows its five once-active 737 MAX jets were grounded before the Ethiopian crash.

The European Union’s aviation safety regulator has already suspended all flights in the bloc by Boeing 737 MAX planes, joining a wave of suspensions of the aircraft across the globe.

SpiceJet’s shares plunged as much as 8.8 percent to their lowest since Dec. 11, before recovering to trade down 2.9 percent later in the day. Jet fell as much as 3.4 percent.

Shares of low-cost airline InterGlobe Aviation, which does not fly 737 MAX jets, rose as much as 4.4 percent.

Source: Reuters

– TFM News

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India’s Jet Airways raised Rs.2,050 crore ($293 million) loan from PNB

India’s Jet Airways raised Rs.2,050 crore ($293 million) loan from PNB

Jet Airways secured foreign currency term loan worth Rs.1,100 crore and a non-fund based credit facility of Rs.950 crore from Punjab National Bank.

TFM News

Jet Airways has secured capital worth Rs.2,050 crore from Punjab National Bank (PNB) in a bid to provide temporary support to the carrier. The airline raised foreign currency term loan worth Rs.1,100 crore and a non-fund based credit facility of Rs.950 crore from PNB, Mint reported.

This credit has been raised in two trenches through separate contracts with PNB. Under one contract, the airline received credit of Rs.1,050 crore, including a term loan worth Rs.350 crore and a non-fund based facility of Rs.700 crore, the report said. With the second contract came credit worth Rs.1,000 crore, including a term loan of Rs.750 crore and a non-fund based facility of Rs.50 crore.

It is unclear how the carrier will use this credit. While assumption is that the funds will be used for its working capital needs, sources told the newspaper that the airline wants to use the money to clear dues to aircraft lessors and pay staff salaries.

This capital infusion may prop up Jet Airways’ credit rating and help resume flights that have been cancelled ever since at least 49 of its planes were grounded in February.

“The loan has been raised in dollars at a stronger rupee as compared to the value of the rupee now. So, there is a cost arbitrage, which could help the company repay larger rupee loans,” a source cited earlier said.

The term loans have a five-year repayment tenure, but their interest rates are varied. The Rs.750 crore loan has been extended at a rate of 12-month Libor plus five percent and a yearly reset. For the Rs.300 crore term loan, it is six-month Libor plus 3.5 percent and a half-yearly reset.

The airline can sell down Rs.250 crore of the term loans to investors according to the agreement. “The non-fund based facility can be later converted to current account credit facility and be used to fund operations or meet other dues,” the source added.

To avail of the loan, Jet Airways had to create a trust and retention account (TRA) through a tripartite agreement with PNB and ICICI Merchant Services. This mechanism is used to protect banks and lenders against defaults by insulating the project’s cash flows.

Under this pact, the TRA agent has to make all payments to lenders directly, without the borrower’s intervention. This includes managing the project’s operation and maintenance expenses, maintaining a debt servicing reserve and a separate cash reserve for operational spending.

Jet Airways had a debt of Rs.9,600 crore as of December 31. It has incurred a total loss of Rs.3,200 crore in the nine months through December, with a negative net worth of Rs.10,370 crore.

Source: MoneyControl

– TFM Watch

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MARKET UPDATE | Closing Bell: Nifty ends above 11,150, Sensex gains 382 pts; metal stocks outperform

MARKET UPDATE | Closing Bell: Nifty ends above 11,150, Sensex gains 382 pts; metal stocks outperform | The Future Markets

TFM News | http://www.thefuturemarkets.com

Mar 11, 03:35 PM (IST)

Market at close: Indices ended on strong note on Monday as bulls took charge of the Dalal Street with Sensex closed above 37,000, while Nifty finished above 11,150 mark.

The Sensex was up 382.67 points at 37054.10, while Nifty was up 132.60 points at 11168. About 1735 shares have advanced, 911 shares declined, and 163 shares are unchanged.

Bharti Airtel, HPCL, BPCL, Eicher Motors and Bharti Infratel were the top gainers on the Nifty, while losers include NTPC, Zee Entertainment, TCS, Tech Mahindra and HCL Tech.

Except IT index, all other sectoral indices ended in green led by auto, energy, infra, metal, PSU bank, pharma and FMCG.

Mar 11, 03:19 PM (IST)

Godfrey Phillips gains: Shares touched 52-week high of Rs 1,042.50, rising 9 percent intraday Monday after company clarified on the news report about violation of the Foreign Direct Investment (FDI) laws by the company.  MoneyControl

Mar 11, 03:09 PM (IST)

Indian Metals & Ferro Alloys has entered into a Joint Development Agreement with Adventz Finance to develop the property situated at No.44, Chowringhee Road, Kolkata.  MoneyControl

Mar 11, 02:53 PM (IST)

Global Market Check: Boeing shares down by nearly 9 percent in the premarket

US stock index futures traded mixed on Monday morning with investors still digesting weak jobs data from the previous session.

Boeing shares were down by nearly 9 percent in the premarket. This comes as its fastest-ever selling aircraft sparks safety concerns after an Ethiopian Airlines 737 MAX jet crashed shortly after takeoff on Sunday, killing everyone on board. CNBC TV18

Mar 11, 02:22 PM (IST)

Sadbhav Infra shares rally on report of road asset sale

Shares of Sadbhav Infrastructure Project (SPIL) rose nearly 12 percent on Monday on a report that Canada Pension Plan Investment Board is in advanced talks to acquire 12 operating road assets of the company in a deal worth $400-$500 million (about Rs 3,000 crore).

Sadbhav Infra shares jumped as much as 11.7 percent to Rs 103 per share in early trade. At 1:37 PM, shares of the company traded up 7 percent at Rs 98.65 per share on NSE.  CNBC TV18

Mar 11, 02:18 PM (IST)

IFCI gains 5%: IFCI shares rallied 5 percent after the company exit from two large exposures in thermal power sector.  MoneyControl

Mar 11, 01:56 PM (IST)

RITES declares dividend: The board of directors of the company declared an interim dividend at the rate of 40% of paid up share capital (Rs 4 per share of Rs 10 each).  MoneyControl

Mar 11, 01:49 PM (IST)

DHFL down 6%; at day’s low after downgrade coming in from Brickworks

Shares of Dewan Housing Finance Corporation (DHFL) were down 6 percent in intra-day trade on the BSE after Brickwork Ratings (BWR) on March 8, 2019 downgraded DHFL’s various debt instruments by one notch, citing de-growth in business on account of inability to raise funds.  CNBC TV18

Mar 11, 01:15 PM (IST)

IDBI Bank looks to sell bad loans worth Rs 1,353 crore by March-end

IDBI Bank is looking to sell all six non-performing assets (NPAs) worth Rs 1,353 crore by the end of March, multiple sources familiar with the matter told CNBC-TV18.

The lender is planning to sell bad loans to banks, financial institutions or asset restructuring companies as it steps up efforts to recover dues from loan offenders, said the above mentioned sources on condition of anonymity.  CNBC TV18

Mar 11, 01:14 PM (IST)

Birla Corp shares drop up to 14% following NGT order

Shares of Birla Corporation slumped up to 14 per cent during intra-day trade on Monday after National Green Tribunal (NGT) ordered the firm to stop all mining activities being carried on within the municipal limits of Chittorgarh City. On BSE, the scrip after opening on a negative note further declined 14.11 per cent to Rs 485.10 during the day.  ET Markets

Mar 11, 12:57 PM (IST)

CG Power shares rally over amalgamation, promoters’ stake pledge

Shares of CG Power surged 8 percent on Monday after the company’s board approved amalgamation of unit CG Power Solutions with itself and following the promoters’ stake pledge. CG Power’s promoter, Avantha Holdings Ltd, has invoked to pledge all the equity shares by Vistra ITCL, which means 100 percent of promoter stake is pledged.  CNBC TV18

Mar 11, 12:54 PM (IST)

Just In | Kalpataru Power Transmission Limited has secured new orders of Rs.1,288 Crores. The details are as follows:
• Transmission & Distribution business has secured projects of Rs 771 crore primarily in international markets
• Two projects in Oil and Gas business totalling Rs 517 crore 
MoneyControl

Mar 11, 12:48 PM (IST)

Barring IT, all indices trade higher

Mar 11, 12:40 PM (IST)

Premature to call current market gains as pre-election rally, says Saurabh Mukherjea

Saurabh Mukherjea, the founder of Marcellus Investment Managers, is of the view that it would be premature to call the current market rally as a pre-election rally. “It could be that the Indian market is basically catching up with the global market rally,” he said in an interview with CNBC-TV18.

Mar 11, 12:19 PM (IST)

Nikkei bounces after 4 days of losses, growth worries limit rise

Japan’s Nikkei share average snapped a four-session losing streak on Monday, although gains were limited as much weaker-than-expected U.S. job data dimmed the outlook for the global economy. The Nikkei ended the day up 0.47 percent at 21,125.09. The index crawled back towards a three-month peak of 21,860.39 scaled a week ago.  CNBC TV18

Mar 11, 12:17 PM (IST)

Shares of Aurionpro Solutions gained 5.2 percent intraday Monday after company won a prestigious order from Bharat Electronic.  MoneyControl

Mar 11, 12:06 PM (IST)

Balrampur Chini Mills, Graphite India and Vakrangee among new entrants in Reliance Nippon Life AM portfolio

Balrampur Chini Mills, Graphite India and Vakrangee stood among new entrants in the portfolio of this AMC last month. However, it exited stocks like Hathway Cable, Just Dial, Kajaria Ceramics, SREI Infra, Tata Communications and Tata Elxsi.   ET Markets

Mar 11, 12:04 PM (IST)

Aditya Birla AMC adds exposure to DHFL, exits Suzlon Energy

Birlasoft, Chalet Hotels, Dewan Housing Finance, Divi’s Labs, Hexaware Technologies, IDBI and REC also stood among the list of newly bought stocks. On the other hand, it completely exited stocks such as GMR Infrastructure, Hindustan Aeronautics, J&K Bank, Just Dial, Page Industries, Sintex Plastics, Sunteck Realty and Suzlon Energy. ET Markets

Mar 11, 12:02 PM (IST)

ICICI Prudential Mutual Fund exits CESC Ventures, Spencer’s Retail

The fund house held equity assets of Rs 1.20 lakh crore as of February 28. During the month, it completed its exit from CESC Ventures and Spencer’s Retail. However, it added 6.82 crore shares of National Aluminium during the month. This was followed by NTPC (3.78 crore), ITC (3.68 crore), SBI (3.59 crore), Bank of Baroda (1.50 crore), Axis Bank (1.44 crore), ONGC (1.24 crore) and NHPC (1.24 crore). ET Markets

Mar 11, 11:48 AM (IST)

Buzzing: Shares of Ashoka Buildcon has surged 6 percent after the company’s subsidiary received LoA from NHAI.  MoneyControl

Mar 11, 11:39 AM (IST)

Mentha oil futures gain 0.99% as demand picks up

Mentha oil prices were up by 0.99 per cent to Rs 1,652 per kg in futures market Monday as speculators raised bets amid pick-up in demand from consuming industries in the domestic spot market. Further, tight stocks position on fall in supplies from Chandausi in Uttar Pradesh influenced mentha oil prices. – ET Markets

Mar 11, 11:18 AM (IST)

Eicher Motors hits over 2-month high; chart suggests more upside

Shares of Eicher Motors Ltd gained as much as 3.33 per cent to Rs 22,599.95, highest since Jan. 1
Stock broke above a resistance at Rs 22,264.5, the 23.6 per cent Fibonacci retracement level of the downtrend from Sep. 8, 2017 high to Jan. 29, 2019 low
A close above the 23.6 per cent level may lead to further price rise up to the next resistance at Rs 24,407.75, the 38.2 per cent level, though some resistance is also expected at the 200-day exponential moving average
Stock’s wave pattern suggests it has completed a three-wave downtrend that started on Sep. 8, 2017 and it is now in a five wave uptrend
Trend intensity (TI) indicator rises to 17, suggests prices are trending upwards, MACD is positive and above its signal line
Stock up 4.9 per cent in the last one month as of Friday’s close, outperforming the broader NSE Index’s 0.8 per cent gains in the same period (Source: Reuters)

Mar 11, 11:16 AM (IST)

Shares of Unichem Laboratories added 3.2 percent intraday Monday after successful inspection at Ghaziabad facility by USFDA– MoneyControl

Mar 11, 10:56 AM (IST)

Dilip Buildcon shares jump 7 percent on NHAI project win

Shares of Dilip Buildcon rallied over 7 percent in the early morning trade on Monday after the company said it was declared the lowest bidder for an NHAI project in Maharashtra.”The company has been declared L-1 bidder for the EPC project in the state of Maharashtra, valued at Rs 480.06 crore by the National Highways Authority of India (NHAI),” it said in a filing.

Dilip Buildicon has risen over 30 percent in March and 75 percent in the last one month. – CNBC TV18

Mar 11, 10:42 AM (IST)

Jet Airways surge amid reports of receiving fresh loan from PNB; stock up 13% in March

Shares of Jet Airways gained as much as 4.6 percent to Rs 254.50, on news reports that the airline company has received a fresh loan of Rs 2,050 crore from Punjab National Bank (PNB). The airline had also raised foreign currency term loans worth Rs 1,100 crore and a non-fund based credit facility of Rs 950 crore from PNB, the Mint report said citing loan documents. CNBC TV18

Mar 11, 10:23 AM (IST)

Buy Axis Bank, UPL & Bajaj Auto, says Motilal Oswal’s Yogesh Mehta

The latest analysis and commentary by stock market guru Yogesh Mehta, vice president-equity advisory at Motilal Oswal Securities on what is moving the markets today. He shared his views and readings on Axis Bank, Bajaj Auto and UPL. CNBC TV18

Mar 11, 10:17 AM (IST)

Buzzing: GMR Infrastructure shares gained 1.5 percent after company’s subsidiary GMR Airports (GAL) received the formal letter of award (LoA) from MIHAN India, the concessioning authority for the Nagpur Airport. – MoneyControl

Mar 11, 10:13 AM (IST)

Arvind Fashions hits 5% upper circuit for 2nd consecutive day

Shares of Arvind Fashions hit the 5 per-cent upper circuit on Monday morning for the 2nd consecutive day. It was listed on Friday at a price of Rs 591.75, but consequently ended the day at Rs 621.30.

On Monday, the scrip hovered at Rs 652.35, up 5 per cent at around 09:40 am while the benchmark BSE Sensex was up 0.80 per cent at 36,964.78.

Investors of Arvind Fashions faced confusion on Friday, as the demerged entity of Arvind, which got listed on stock exchanges, opened at a price that was much lower than the Street estimates. – ET Markets

Mar 11, 10:10 AM (IST)

SBI hits 1-month high on Essar Steel, loan pricing news

Shares of State Bank of India hit a one-month high of Rs.289.00 as the National Company Law Tribunal on Friday approved the acquisition of bankrupt Essar Steel by ArcelorMittal for Rs 420 billion. The bank’s shares also gained as the lender has linked rates on some savings bank deposits and short-term loans to RBI’s repo rate. Effective May 1, SBI’s all cash credit accounts and overdrafts with limits of more than Rs 100,000 would be linked to the repo rate, currently at 6.25 percent, with a spread of 2.25 percent. Brokerage Morgan Stanley reportedly said this move will help reduce volatility in the lender’s margins over time and key things to monitor will be the impact on deposit growth and strategy of peers. In a post-earnings conference call in February, SBI Chairman Rajnish Kumar had said that resolution of Essar Steel would help the bank write back provisions to the tune of 60 bln rupees. At 10.04 am, shares of SBI traded up 2.7 percent at Rs 288.90. – CNBC News

Mar 11, 09:38 AM (IST)

Dilip Buildcon declares as lowest bidder: Shares of Dilip Buildcon rose 6 percent in the early trade on Monday after company declared as lowest bidder for the project in the state of Maharashtra.

The company has been declared L-1 bidder for the EPC project in the state of Maharashtra, valued at Rs 480.06 crore by the National Highways Authority of India (NHAI). – MoneyControl

Mar 11, 09:20 AM (IST)

OPENING BELL: Sensex rises 150 points, Nifty50 nears 11,100; Jet Airways, IDBI Bank gain 3% – ET Markets

Mar 11, 09:08 AM (IST)

Rupee Opens: The Indian rupee gained in the early trade on Monday. It has opened higher by 14 paise at 70.01 per dollar versus previous close 70.15. – MoneyControl

Mar 11, 09:04 AM (IST)

Market at pre-open: Benchmark indices are flat in the pre-opening trade with positive bias Nifty around 11,100 level.

The Sensex is up 32.77 points at 36704.20, while Nifty is up 44.70 points at 11080.10.

Titan, L&T, SBI, are among major gainers in the pre-opening session. – MoneyControl

Mar 11, 08:52 AM (IST)

FPIs buy Rs 1,095 crore worth of equities

Foreign portfolio investors (FPIs) bought Rs 1,095 crore worth of domestic stocks on Friday, data available with NSE suggested. DIIs were net sellers to the tune of Rs 470 crore, data suggested. – ET Markets

Mar 11, 08:51 AM (IST)

Sensex on Friday

Benchmark Sensex dropped 54 points, or 0.15 per cent, to 36,671 and NSE’s Nifty ended the day at 11,035, down 23 points or 0.21 per cent. – ET Markets

Mar 11, 08:42 AM (IST)

Asian markets trade lower: Asian shares pulled back on Monday after US employment data raised doubts about the strength of the global economy while investor jitters ahead of crucial Brexit votes in the UK parliament this week weighed on the pound. – MoneyControl

Mar 11, 08:24 AM (IST)

Crude Update: Oil prices rose on Monday, lifted by Saudi oil minister Khalid al-Falih saying an end to OPEC-led supply cuts was unlikely before June and a report of falling US drilling activity. – MoneyControl

Mar 11, 08:00 AM (IST)

SGX Nifty: Trends on SGX Nifty indicate a flat opening for the broader index in India, a fall of 15 points or 0.14 percent. Nifty futures were trading around 11,043-level on the Singaporean Exchange. – MoneyControl

– TFM News (The Future Markets) | http://www.thefuturemarkets.com

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Jet Airways dropped 300 flights in Feb and Mar as the aircraft changes its system

Jet Airways has dropped 300 more than flights in Feb and Mar as the aircraft changes its system

Around 60 flights planned for February 28 have been dropped and its mentioned that this is plan of strategy to save around Rs.2,000 crore of expenses.

– TFM Watch

Jet Airways231.jpg

Dealing with its arrangement to spare expenses and justify tasks, Jet Airways has dropped more than 300 flights in February and March as the aircraft changes its system. It also mentioned that this is plan of strategy to save around Rs.2,000 crore of expenses.

Around 60 flights planned for February 28 have been dropped. While the Jet Airways site says that the flights have been dropped because of ‘operational reasons’, an official included that these are arranged ones and both the controller DGCA and clients have been educated.

“A large number of the dropped flights have been re-directed over center points, and many can in any case return to the framework,” said a senior carrier official. The scratch-offs, the individual emphasized, shouldn’t be connected with the establishing of the carrier’s airplane.

Furthermore, about 100 flights were additionally affected by the runway conclusion in Mumbai, and part conclusion of the Bengaluru airplane terminal because of the Aero India 2019 show. The runway in Mumbai is shut for four hours, three days seven days, till the finish of March.

The rebuilding happens even as Jet Airways advertiser Naresh Goyal and Eithad Airways CEO Tony Douglas met best authorities of State Bank of India on February 27. Etihad claims 24 percent stake in Jet Airways. SBI is the lead loan specialist to the carrier.

Industry administrators said the gathering expected to put completing addresses the goals plan that was cleared by the Jet Airways’ board, and furthermore got approval of its investors, prior in February.

The Indian aircraft, which has over Rs.8,000 crore in the red, is searching for critical liquidity implantation to pay its pilots, specialists and make installments to its lessors.

Modification in Network:

Jet Airways had in 2018 announced plans to save up to Rs.2,000 crore in costs over two years. This followed consecutive quarters of huge losses.

Integral to this plan was to rationalise its operations, including closing stations, shutting down routes and reworking network around its two hubs: Mumbai and Delhi.

The network modification has led to longer duration cancellation of flights. For instance, the airline will not have a direct flight between Thiruvananthapuram and Bengaluru till October 26. Instead, fliers can take stopover flights from Mumbai, for both destinations.

Some of the stations, including Thiruvananthapuram, have also been closed down. And in others, while the centres have not been shut, the crew has been shifted to other stations.

The airline has also stopped direct flights to the Middle East from Kerala, and has instead routed them via Mumbai.

The airline also shut services to some of the North-East destinations, including Silchar, Imphal and Jorhat. But it continues to fly to Guwahati.

The tweaking of the network will continue, said industry executives, and customers have been advised to check for updates.

Source: MoneyControl

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SBI and PNB agreed to provide Rs.500 crore in emergency to Jet Airways

SBI and PNB may pump in Rs.500 crore in Jet Airways if other lenders agree

The fund would allow the cash-strapped Jet Airways to continue operations until the lenders agree to a restructuring plan for the airline, which has a debt of over Rs.8,000 crore.

Jet-Airways-620x372.jpg

State Bank of India (SBI) and Punjab National Bank (PNB) have agreed to provide Rs.500 crore in emergency funding to Jet Airways on a condition that other lenders in the consortium do not object, The Economic Times reported..

The fund would allow the cash-strapped Jet Airways to continue operations until the lenders agree to a restructuring plan for the airline, which has a debt of over Rs.8,000 crore.

The details of the loan, however, are yet to be worked out.

“Only SBI and PNB have agreed to step in and provide the loans,” a source told the paper, adding that none of the other lenders are willing to lend more.

Fresh debt would be given the first preference in the event of a loan recovery, the source told the newspaper, adding: “Since it will be treated on a higher pedestal on the debt waterfall, it needs an okay from other lenders.”

On February 14, Jet Airways’ board approved a rescue deal that would make its lenders its largest shareholders and fix a near $1.12 billion funding gap.

Under the proposed provisional resolution plan by Jet Airways top lender SBI bank may convert a part of the debt into 114 million shares by paying a token Re 1 apiece, based on Reserve Bank of India (RBI) restructuring guidelines. The move would give lenders majority shareholding (50.1%) in the company.

This plan, however, is yet to get the approval of other lenders. Its approval may get delayed due to the crucial emergency funding proposal.

The airline had recently posted its fourth consecutive quarter of losses in the October-December period. It posted a loss of Rs.587.8 crore in Q3 FY19 against a profit of Rs.165.2 crore in the same period last fiscal and loss of Rs.1,297.5 crore in the July-September quarter of 2018.

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Rescue Deal: Jet Airways to seek approval from its shareholders to convert debt into 114 million shares

Debt-laden Jet Airways edges closer to safety

Jet will take the resolution plan to its shareholders later in the day where it will seek their approval to convert debt into 114 million shares.

jetairways1_1550706117046.jpg

(Reuters) – India’s Jet Airways Ltd, after several attempts at finding help to save the carrier from a crippling pile of debt, last week approved a rescue deal which will make its lenders its largest shareholders and fix a near 85 billion rupee funding gap.

Jet, which had debt exceeding 80 billion rupees ($1.12 billion) as of September-end, has been steadily losing market share to its rival and low-cost carrier IndiGo, which is owned by InterGlobe Aviation Ltd.

The airline has also seen its share price suffer as it navigated through several negotiations with its lenders and shareholders.

Jet will take the resolution plan to its shareholders later in the day where it will seek their approval to convert debt into 114 million shares.

Here are some major developments in Jet’s story:

  • Aug 3 – Jet denies report that it cannot fly beyond 60 days, and dismisses conjecture of stake sale
  • Aug 9 – Airline defers board meet for first-quarter results
  • Aug 11 – After State Bank of India chairman says Jet’s loan is on the bank’s watch list, Jet says it is regular in payment obligations to all banks
  • Aug 20 – Sources tell Reuters that private equity firm TPG Capital is considering investing in Jet, but is not close to finalising a deal
  • Aug 27 – Jet posts loss for the June-quarter, says it will inject funds and cut costs by more than 20 billion rupees in two years
  • Sept 6 – Jet says it paid salaries to 84 percent of its employees after reports emerge that pilots warned ‘non-cooperation’ over salary default
  • Oct 4 – Rating agency ICRA downgrades here the company’s long term loans and NCDs
  • Oct 18 – Report says Indian conglomerate Tata Group is in talks to buy stake in Jet. Jet calls report “speculative”
  • Oct 30 – U.S.-based Delta Air Lines Inc expresses interest to buy Jet stake from promoter Naresh Goyal and Etihad Airways
  • Nov 5 – Report says Tata aims to buy the 51 percent stake in the airline owned by Naresh Goyal, and Etihad Airways’ 24 percent stake, and merge Jet with Vistara
  • Nov 12 – Jet posts third straight quarterly loss
  • Nov 13 – Tata Sons begins due diligence to buy Jet, reports say
  • Nov 15 – Shares surge nearly 25 percent following reports that the debt-laden airline was nearing a rescue deal with Tata Sons; another report says the Indian government asked Tata to explore buying Jet
  • Nov 16 – Tata Sons says discussions on Jet is preliminary and no proposal has been made
  • Nov 22 – Independent director Ranjan Mathai resigns, citing rising pressure from other commitments
  • Dec 3 – Jet says it will stop providing free meals to most domestic economy class passengers from January
  • Dec 5 – Jet and Etihad Airways have been holding rescue talks with Jet’s bankers, sources tell Reuters
  • Dec 6 – Jet tells its pilot union it will clear all salary dues by April, a source tells Reuters
  • Dec 7 – ICRA cuts here Jet rating yet again
  • Dec 14 – Goyal’s penchant for control has come up as a major obstacle as the airline tries to negotiate a rescue deal, several people who have worked closely with him or known him over the years tell Reuters
  • Jan 2, 2019 – The airline says it has delayed payment to a consortium of Indian banks, led by SBI; ICRA cuts rating again
  • Jan 10 – Jet proposes to creditors that it will catch up with debt payments in arrears by September, and from April will meet debt payments as they come due, according to a document seen by Reuters
  • Jan 11 – Some aircraft lessors were prompted to explore taking back aircraft from Jet, people familiar with the matter told Reuters. Etihad is not “in any position to sink new equity into Jet at this juncture”, says a person familiar with Etihad’s position.
  • Jan 14 – Report states Goyal is likely to step down from the board and give up majority control
  • Jan 16 – TV channel reports that Etihad offered to buy Jet shares at a 49 percent discount and immediately release $35 million.
  • Jan 17 – Top creditor SBI says Jet’s lenders are considering a plan to resolve its debt issues, amid further reports that Goyal is willing to invest 7 billion rupees in the airline and pledge all his shares but wants to retain a 25 percent stake.
  • Jan 24 – India capital markets regulator says it has no “view” on relaxing norms for a Jet bailout
  • Jan 25 – Etihad appoints Alvarez & Marsal to conduct due diligence on Jet, sources tell Reuters
  • Jan 30 – Jet denies its aircraft had been grounded by GE Capital Aviation Services
  • Feb 1 – Jet agrees to most conditions set by Etihad Airways for a lifeline, a report says
  • Feb 8 – Airline grounds four aircraft after failing to make payments to lessors
  • Feb 14 – Jet’s board approves a rescue deal which will make its lenders its largest shareholders and fix a near 85 billion rupee funding gap
  • Feb 15 – Jet is seeking an $840 million bailout from shareholders and a state-backed fund, Business Television India reports

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