Troubled Jet Airways Shares Climb 18 Per Cent Amid Report Goyal Likely To Step Down

The shares of India’s financial crisis-hit airline, Jet Airways climbed 18 per cent on Monday (14) amid news that the founder and chairman of the airline Naresh Goyal was likely to move out of the board to give up majority shares owned by him.

Jet Airways shares on India’s benchmark Bombay Stoke Exchange (BSE) opened at Rs 254.80 and reached an intraday high of Rs 297 before closing at Rs 294.40 on Monday (14).

Citing sources, CNBC TV18 in its report stated that the airline was likely to give its nod for a resolution plan with its banks this week and the founder of the airline would cut his 51 per cent stake to 20 to 25 per cent and agree to his voting share being capped at 10 per cent, in a move to lift the airlines from crisis.

The media report has also said that Etihad may pump capital into the airline and raise its stake from 24 per cent it presently owns.

The airline in January said it had defaulted on debt payments on a consortium of Indian banks and the jet was in discussion with the banks led by State Bank Of India (SBI). The airline is in a turbulent situation and owes money to pilots, lessors, and vendors.