Summary
- Jet Airways has received a money injection of over $42 million, completing the method initiated by the Jalan Kalrock Consortium to revive the airline.
- The consortium is set to relaunch Jet Airways in 2024, after a failed attempt in 2022.
- While the revival process has faced setbacks, comparable to losing its two-digit IATA code, the consortium has achieved key milestones like renewing the carrier’s Air Operator’s Certificate.
Former Indian airline Jet Airways has taken its latest step towards a possible relaunch, following the completion of a money injection price greater than $42 million. The cash has come from the Jalan Kalrock Consortium, which purchased the carrier within the wake of its collapse, with a view to getting it back up and running.
Money talks
In line with reports by Reuters, the money injection, which is price 3.5 billion Indian Rupees ($42.14 million), was structured through a ‘court-approved plan.’ Having already infused some 2.5 billion Rupees into the defunct airline, the Jalan Kalrock Consortium announced that the last one billion had been transferred, thus completing the money injection process. The group said in a press release that:
“With this infusion (…) all commitments by JKC now stand fulfilled to take control of the long-lasting airline. (…) The consortium’s technique to revive the airline stays unaltered. The brand new promoters are determined to re-establish the operations of the airline up and running in 2024.”
Photo: Phuong D Nguyen/Shutterstock
The money injection process has been a protracted one, with FlightGlobal noting that the consortium first received the court approval to perform its resolution plan back in June of 2021. Now, greater than three years later, a key milestone has been reached, with India Today reporting a 5% rise in Jet Airways’ shares because of this.
See you next yr!
As noted earlier within the consortium’s statement, the group is aiming to get Jet Airways back within the air in 2024, following a failed restart in the primary quarter of 2022. While the precise date of the carrier’s relaunch stays unknown, its owners have committed to providing “further announcement (…) in the approaching weeks.
The road to restarting an airline is a protracted one, but this will not be the one major milestone that Jet Airways has seen in recent times. Indeed, in the beginning of August 2023, the Jalan Kalrock Consortium succeeded in getting the carrier’s Air Operator’s Certificate (AOC) renewed, three months after it initially expired in May this yr.
Photo: achinthamb/Shutterstock
That being said, the revival process has hit a number of bumps within the road. In the beginning of this month, the carrier (together with fellow Indian operator Go First) lost its two-digit IATA code, which plays a key role within the operations of any airline.
Moreover, Easy Flying reported earlier this yr that the consortium’s money was due by August thirty first. As such, it would be interesting to see if there are any ramifications for the undeniable fact that the cash has ultimately arrived almost a month late.
A temporary history of Jet Airways
The unique Jet Airways was founded in April 1992, and commenced operations just over a month later, in May 1993. After slow and regular growth in its first decade, the carrier began flying internationally in 2004, and, as Reuters notes, eventually had the second-largest share within the Indian airline market. Nevertheless, unpaid fees and rejected emergency funding forced it to stop operations in April 2019.
What do you make of this latest money injection? Did you ever fly with Jet Airways back within the day? Tell us your thoughts and experiences within the comments!