Jet Airways’ new owners — the Jalan-Kalrock combine — are reportedly in talks with Boeing Co and Airbus SE to purchase at least 100 narrowbody aircraft in an order that could be worth $12 billion.
The airline is targeting to resume operations from the first quarter of 2022 and needs to replace its existing depleted fleet of just 11 aircraft.
The winning bidder for Jet had said they would start with domestic flights and then fly overseas by the last quarter of the year. The airline was grounded in April 2019 and went into insolvency as it could not repay its rising debt.
In October last year, the committee of creditors approved a resolution plan submitted by the Jalan-Kalrock consortium. Subsequently in June this year, the Mumbai bench of the National Company Law Tribunal (NCLT) gave its approval to the plan.
A Bloomberg report quoting Ankit Jalan, a representative for the consortium, said the group would invest around Rs 1,500 crore through equity and debt in the airline over the next six months. It added the airline is now left with a fleet of 11 planes that include Boeing 777 and 737s and Airbus A330, which need to be sold and replaced with more fuel efficient aircraft.
Jalan-Kalrok’s move comes just days after Rakesh Jhunjhunwala’s airline Akasa Air placed an order for 72 Boeing 737 Max planes, valued at nearly $9 billion.
Shares of Jet were in demand and they ended with gains of 4.98 per cent at Rs 86.50 on the BSE. The scrip has gained more than 23 per cent in the last one year.
