Jettwings Airways, a carrier based in Assam, made an announcement on Thursday, stating that it has submitted an Expression of Interest (EOI) for Go First Airlines, which is currently undergoing a Corporate Insolvency Resolution Process.
This update comes in the midst of reports that Jindal Power, under the leadership of Naveen Jindal, emerged as the only successful applicant, with their initial bid being accepted by Go First’s lenders. Sources within Jindal Power have indicated that a final decision will be made after a comprehensive evaluation of the necessary documents, which have already been requested.
The deadline for submitting EOIs for Go First was September 28, and Jettwings claims to have met this deadline. It’s worth noting that while two foreign entities expressed an interest in acquiring Go First, their applications were rejected due to their inability to meet the lenders’ criteria.
It’s also noteworthy that the Wadia family, the original founders of the low-cost carrier, have not shown an interest in participating in the airline’s revival.
Jettwings Airways recently obtained a no objection certificate from the Ministry of Civil Aviation, allowing it to operate as a scheduled commuter airline. The airline, promoted by Sanjive Narain, who is also the owner of Assam’s oldest news channel, holds interests in construction, health, and automobile businesses. Jettwings is aiming to commence commercial operations from October 2023.
Time is running out for Go First to revive its operations, as recent changes in the government’s insolvency scheme for airlines have not been favorable for the lenders. The lessors of the airline, which ceased flight operations on May 3, have already initiated legal action to repossess their aircraft.
In addition to this, the ongoing efforts by the resolution professional to restart services with limited flights have yet to yield success, and there have been reports of employees leaving the airline due to outstanding salary payments.