Indian airlines risk consolidation, plane repossessions amid COVID-19 surge
India’s airlines are under renewed pressure to raise cash or face the risk of having to downsize, consolidate or have their planes repossessed by lessors as a surge of COVID-19 infections roils travel.
Passenger traffic fell by nearly 30% in April from a month before and has halved again so far in May, forcing even the country’s biggest and most cashed-up carrier, IndiGo, to prepare for action.
IndiGo’s parent, Interglobe Aviation NSE 1.74 %, will meet on Friday to consider an equity raising, just months after it abandoned plans to raise up to 40 billion rupees ($543 million) in January in response to a speedy recovery in travel.
