New Delhi, Jan. 6: The
17-bank consortium that had funded the grounded Kingfisher Airlines Ltd
will meet at Mumbai on January 18. Bankers are expected to take a final
call on initiating recovery proceedings against the beleaguered private
airline, which has a liability of close to Rs 7,500 crore. The airlne’s
license to fly had expired on December 31. This may, however, be renewed
until December 2014.
The promoter, UB Group, had pledged various
assets including the Kingfisher Airlines brand, a villa in Goa and
Kingfisher house in Mumbai as collateral for securing the loans. It is
not clear whether the banks would be able to recover the entire exposure
given that the airline is grounded and the brand may not hold the same
value.
Meanwhile, a core group of six banks met at Bangalore on
Friday to discuss the viability of a restart plan presented by the
airline. They were however not enthused by the proposed plan as it did
not have any firm commitment from the promoters on fund infusion in the
airline, it is learnt.
http://www.thehindubusinessline.com
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment