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Continue to work towards reviving Jet Airways, says Etihad

A report suggested that Eithad and Hinduja Group have shelved plans to invest in Jet Airways

June 11, 2019 / 09:28 PM IST

While refusing to comment on a report that it has put on hold plans to invest in Jet Airways, Abu Dhabi-based Etihad Airways reiterated that it is working towards finding a solution to revive the Indian airline.

"Etihad does not comment on rumour or speculation," the spokesperson said in an emailed response to Moneycontrol's query.

The executive added: “Etihad continues to work directly with key stakeholders in India to help find a solution, which would ensure Jet Airways’ return as a viable and competitive Indian airline, as it has been doing consistently for the past 15 months.”

The comments come even as the report said Etihad Airways and the Hinduja Group have decided to 'halt negotiations' to revive Jet Airways, which had suspended its operations on April 17. The Hinduja Group didn't respond to queries.

NCLT setback

At the same time, sources told Moneycontrol that both Etihad and the Hinduja Group are also keeping an eye on the Mumbai bench of NCLT, where two operational creditors of Jet Airways have filed pleas on June 10.

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"The tribunal issued notices to Jet Airways and banks, which own the airline now, and posted the matter for further hearing on June 13, when it will decide on admitting or rejecting the bankruptcy pleas," reports PTI.

Jet Airways owes more than Rs 8,000 crore to banks, and thousands of crores more in arrears to vendors, lessors and employees.

The Hinduja Group had also sought assurances from the government. "The group doesn't want to be dragged into any litigation related to Jet Airways' last promoter and doesn't want to be in a sticky position because of that. It also wants Jet Airways' slots and traffic rights to be restored," a senior industry executive stated.
Prince Mathews Thomas heads the corporate bureau of Moneycontrol. He has been covering the business world for 16 years, having worked in The Hindu Business Line, Forbes India, Dow Jones Newswires, The Economic Times, Business Standard and The Week. A Chevening scholar, Prince has also authored The Consolidators, a book on second generation entrepreneurs.
first published: Jun 11, 2019 03:08 pm
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