Jet Airways employees meet lenders to discuss their own revival plan

SBI Caps is believed to have told the group of Jet's employees that their proposal will be considered only after the conclusion of the bidding process

New Delhi: A group of Jet Airways employees, who had earlier showed an interest in picking up a majority stake in the ailing airline, met SBI Caps officials to discuss the proposal. SBI Caps is responsible for overseeing the bidding process of Jet Airways.

Offer to be considered only after bidding is complete

Admitting that the situation of the airline is 'extremely precarious,' SBI Caps is believed to have told the group of Jet's employees that their proposal will be considered only after the conclusion of the bidding process. "The SBI Caps team stated that lenders may review the status and consider any other options and proposals, including ours, after the conclusion of bidding, and if the said process does not provide a satisfactory solution," a senior Jet Airways official said.

The group comprised of representatives of the Society of Welfare for Indian Pilots and Jet Aircraft Maintenance Engineers Welfare Association. The meeting happened as rumours emerged that the bidders shortlisted by the lenders were not keen on taking over the airline.

What issues were discussed at the meeting?

At the meeting, officials from SBI Caps detailed the bidding process. "In the meeting, all issues, which needed to be addressed through an equity infusion solution, were discussed. The financial situation of the company in terms of outstanding liabilities is extremely precarious," the source quoted above said.

What is the plan to save Jet Airways?

The group of employees had written to State Bank of India Chairman Rajnish Kumar, offering to take over the airline. In the short term, they plan to use investor funds to clear arrears, including those to employees, lessors and banks. Though they haven't identified their investors yet, they have claimed that they have commitments from potential investors.