Cash-starved Kingfisher Airlines, which is currently reeling under massive debts, is facing collapse as banks have refused to lend any further. The carrier is set to shut all international operations by April 10.
Neeraj Monga, EVP at Veritas Investment Research said that there is no equity value in Kingfisher Airlines. The only way the equity value can come back is if there was less debt. For that to happen, the business has to go into bankruptcy or restructuring and debt has to decline.
He further added,