Jet Airways approves provisional resolution plan

Late last week Jet Airways’ Board of directors approved a Bank led Provisional Resolution Plan (BLPRP), whereby the consortium of lenders led by the State Bank of India will take a 50.1% stake in the company stake for 1 rupee through the issuance of 114 million new shares. The BLPRP needs to be approved by the consortium, founder Naresh Goyal and the board of Etihad Airways, which owns 24%. As mentioned, the deal is expected to be temporary to allow the airline to raise equity from investors. Jet Airways needs a cash equity injection of 85 billion rupees but it