MUMBAI: State Bank of India (SBI), the biggest lender to Jet Airways (India) Ltd, has proposed a new plan to revive the ailing carrier that involves a total fund infusion of ₹9,535 crore, and the exit of founder Naresh Goyal and Etihad Airways PJSC.
The plan includes an equity infusion of ₹3,800 crore by two unidentified investors and a ₹850 crore equity infusion by state-run lenders led by SBI, ₹485 crore on behalf of public shareholders that will be achieved through banks underwriting a rights issue, additional debt of ₹2,400 crore and non-fund based facilities of ₹2,000 crore, according to the plan reviewed by Mint.
The resolution plan also proposes a complete exit of Abu Dhabi-based Etihad Airways, as well as large haircuts for lenders, including a write-off of debt by the domestic lenders to Jet Airways.
