Summary
- India’s grounded airline Go First has received interest from US-based NS Aviation, because it seeks money infusion to restart operations.
- NS Aviation joins three other potential investors, including SpiceJet and Sky One.
- Go First has prolonged the deadline for submission of expressions of interest from investors to January 31.
India’s grounded low-cost airline Go First has received interest from one other investor because it looks for a money infusion to restart the business. The airline now has 4 candidates trying to place a suggestion and has even prolonged the deadline for submission of expressions of interest.
Fourth candidate
US-based NS Aviation has shown interest in investing in India’s grounded airline Go First. The carrier’s initial attempts to search for an investor didn’t yield any results, but there have been some potential suitors looking to take a position within the last couple of months.
Photo: Skycolors | Shutterstock
NS Aviation is a worldwide investor and was founded by a US-based surgeon, Dr Mohammad Ali, and entrepreneur Isha Ali. The firm had announced last 12 months the acquisition of 85% shares of one other Indian airline, TruJet, for somewhat over $54 million.
The corporate’s website claims that it desires to
Extension of deadline
NS Aviation joins three other candidates which have come forward in recent weeks trying to potentially spend money on Go First; the opposite three include Indian budget airline SpiceJet, Sharjah-based company Sky One, and Safrik Investment group of Africa.
The committee of creditors of Go First has also decided to increase the deadline for investors to submit their expressions of interest to January 31. businessline quotes a lender as saying,
Photo: Skycolors | Shutterstock
The potential investors will review the vital data for the subsequent few days and examine the airline’s financials, assets, liabilities, and worker strength. It will help them assess Go First’s present-day value before they make a suggestion.
After the bids are submitted, the resolution skilled and lenders will resolve the subsequent plan of action. Thus far, there has not been much enthusiasm in regards to the scope of investment because the airline has faced several challenges within the last several months, including deteriorating aircraft conditions and a mass exodus of employees. It stays to be seen whether the recent interests amount to anything substantial.
Hanging by a thread
Go First suspended flight operations in May 2023. It’s now merely a shadow of its former self, struggling to avoid liquidation by in search of an urgent financial lifeline. Its fleet of greater than 50 Airbus A320 aircraft is currently grounded, and there aren’t enough employees to take care of them.
Photo: Harsh – S | Shutterstock
The months that followed the flight suspension saw several staff, including pilots and cabin crew members, join other airlines as hopes for a revival dwindled. Even the carrier’s CEO resigned amid mounting difficulties and the challenges that Go First faces. Here’s hoping that an appropriate investment revives its fortune.
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