Anil Agarwal's turn on August 12, just two days after the EoI was filed and lack of clarity on the other two suitors, raised questions about the rebirth of Jet Airways.
The airline ceased operations in April.
August 10 was the deadline for EoI submission to the airline. Three suitors came out. Volcan Investments, the family trust of Vedanta chairman Anil Agarwal, was the only one that confirmed interest. The other two names making the rounds are the RA Treasurer's Russian Treasury Fund and the Panama-based Avantulo Group.
Like Moneycontrol had previously reported, Etihad Airways and the Hinduja Group showed no interest. Etihad said on August 12 that "unresolved issues" were behind his decision.
In addition, an employee of the Jet Airways consortium and AdiGro Aviation, who had expressed an interest in bidding for the plan, failed to meet the deadline.
The nature of the other two suitors – little is known about them or their interest in aviation – has raised fears that the bidding process will eventually disappear.
"With no real interest from potential buyers in Jet Airways, an administrator may seek to accelerate the sale of individual assets to obtain greater value or reimbursement for creditors. The outcome of the EoI process reflects the complexity of IBC processes and the reluctance. from famous or big investors to enter this space, "said Manish Raniga, an aviation management consultant.
According to a statement by the resolution specialist who is monitoring the bankruptcy process, a future list of candidates for a future resolution will be published on Tuesday, 13 August. The final list will be published on 21 August. The final date for submission of resolution plans or tenders is September 12.
The resolution specialist expects the final restructuring plan to be approved by 21 September.
"The process is already quite academic. Everything beyond September 20 and there will be no airline to operate. This will go to liquidation," said a senior industry official.
Full or pieceLenders led by the State Bank of India will be disappointed with the response. They had chosen to choose the path of insolvency after the earlier bidding process saw that only Etihad Airways and the Hinduja Group were interested.
But given the terms of the two suitors, the lenders chose to bring Jet Airways to the National Company Law Tribunal (NCLT).
Jet Airways has a total liability of about 25,000 rune kroner, and this includes about 8,000 runner owed to banks.
The three new suitors may not be very confident.
The volcano was exhausted with $ 500 million after its recent lucrative exit from an Anglo-American miner. But now it's out of the race.
Similarly, the aviation interest of both RA Creator and Avantulo is unknown.
"Anil Agarwal looked like the best candidate, but it's not clear now how the deal will go," the chief executive said.
Moneycontrol have previously written about the growing ability to sell Jet Airways asset assets.
Etihad Airways itself may look to sell the three slots at London's Heathrow Airport, which it owns through Jet Airways. "The company hopes to sell three slots, each valued at $ 35 million. In addition, it also holds a 50.1% stake in the Jet Privilege program," said a senior executive.
Jet Airways has 14 aircraft remaining. Lenders could choose to sell them to Indian airlines, including Vistara and SpiceJet, which have already leased some of its aircraft.
Subscribe to Moneycontrol Pro and access curated market data, sales recommendations, equity analysis, investment ideas, information from market gurus, and more. Get Moneycontrol PRO for 1 year at a price of 3 months at 289, Use the FREEDOM code.