Naresh Goyal, wife Anita step down from board of cash-strapped Jet Airways

ZeeBiz WebTeam | Mar 25, 2019, 04:32 PM IST

Jet Airways founder and Chairman Naresh Goyal and his wife Anita Goyal have decided to step down from the airline's board, according to Regulatory filing with SEBI today. The duo took this decision as the cash-strapped Indian carrier closes in on a rescue deal led by state-run banks. Image source: Reuters


As soon as the report of quitting by Jet Airways founder and Chairman Naresh Goyal and his wife Anita Goyal came, stocks of Jet Airways jumped 12 per cent in the afternoon. Image source: Reuters


Naresh Goyal`s stake will be cut to 25.5 percent from the current 51 percent, while Etihad Airways` stake in the debt-laden carrier will also be halved to 12 percent to make room for the banks to take a controlling stake of 50.5 percent in the airline, acording to ET Now, which cited unnamed sources. Image source: Reuters


Burdened with debt of more than $1 billion, Jet Airways owes money to banks, suppliers, pilots and lessors - several of whom have started terminating leases with the carrier. Image source: Reuters


The government has asked state-run banks, led by SBI, to rescue Jet without pushing it into bankruptcy, said Reuters report, citing two people within the Indian government. Prime Minister Narendra Modi reportedly sought to avert thousands of job losses weeks before a general election. Image source: Reuters


Recently, the airline has suspended operations on at least 14 international routes till end-April and over 80 planes are on the ground. As many as 54 aircraft have been grounded due to non-payment of lease rentals. Image source: Twitter/Jet Airways