In an attempt to salvage Jet Airways, the company’s employees have put forth a proposal to take control of it by infusing Rs. 7,000 crore. Under a proposal submitted to SBI, the lead lender, the employees plan to put up capital through stock options worth Rs. 4,000 crore and another Rs. 3,000 crore raised from external investors.
On April 17, the airline announced a temporary shutdown due to lack of funds.
The employees’ letter, addressed to SBI Chairman Rajnish Kumar, said: “We would like to suggest that Jet Airways be taken over by a consortium of employees and external investor(s)…the contribution of the employee group over a hypothetical over-five-year Employee Stock Ownership Programme (ESOP) is likely to be upward of Rs. 4,000 crore. In addition, we are confident of securing up to Rs. 3,000 crore from outside investors.”
