Jet Airways hit lower circuit post Hinduja Group back out

The shares of Jet Airways (India) hit lower circuit on January 16, 2020 (Thursday) amidst reports that the Indian multi-industry, Hinduja Group, which had expressed their interest of investing in this airline earlier, has now backed out on the grounds that it found ‘no value’ in the company.

January 15, 2020 (Wednesday) was the last day to submit proposal for the revival of the airline, and there are reports that South-America based Synergy Group and Delhi-based Prudent ARC, have submitted their Expression of Interest (EoI) to Jet Airways. Meanwhile, a Dubai-based firm had also shown interest earlier but neither did they submit EoI proposal nor made any offer in this regard.

Notably, Jet Airways, which is India’s oldest private airline, had stopped its operations on April 17, 2019 since it was running out of cash to stay afloat. Further, Jet Airways was admitted under Insolvency and Bankruptcy Code (IBC) on June 20, 2019.

However, the stocks of the airline had gone up when Hinduja Group had shown interest in the company and even hit a six-month high on Wednesday.

On Thursday, the shares of Jet Airways (India) Ltd went down by 4.98 per cent. The market opened at Rs 47.75, against its previous close of Rs 50.25 on BSE.