The Bank-led Resolution Plan (BLRP) for troubled carrier Jet Airways, which will be taken up for shareholders’ approval at an EGM on Thursday, has projected that the airline will start turning in net profits from the October-December quarter of 2019-20.
According to people familiar with the restructuring, the resolution plan states that the turnaround would happen in the next six to nine months. The company is expected to report positive EBIDTA in the second quarter (July-September) and net profit in the subsequent quarter. As per the BLRP, lenders will convert a part of their Rs. 8,200 crore debt into equity such that they will collectively have 51% stake initially in the company just for Rs. 1, as per RBI norms.
