Goa villa is not on the block, says Kingsfisher

Mumbai: A day after lenders asked HDFC Securities to value two Kingfisher properties, the cash- starved airline today said the Goan property is not up for sale.

"The reported "sale" of Kingfisher Villa and Kingfisher House are factually incorrect. Kingfisher Villa (in Goa) is owned by United Breweries Holdings and was offered as security to Axis Bank whose loan was incorporated into the lenders consortium," the airline said in an official statement this evening.


Yesterday after a meeting between 17-member banking consortium and the airline's management, bankers had said they have hired HDFC Securities to do a valuation of the two properties - in Mumbai and Goa - worth Rs 120 crore to recover a part of the RS 7,500 crore loans to the Vijya Mallya-led airline.

The Kingfisher statement further said, "United Breweries Holdings had voluntarily applied to the consortium in February for permission to replace the security value of Kingfisher Villa with equivalent cash."

In May, UB group's United Breweries Holdings had said Kingfisher Airlines has ceased to be its subsidiary but it had a significant exposure of over Rs 12,000 crore to the air carrier.

The airline had said yesterday that Kingfisher House has been lying vacant after the staff moved to its new offices at The Qube in Mumbai. "...and at that time itself, on our own accord, we approached the banks with a proposal to liquidate this unutilised asset," it added.

The company also said there was no talk about loan recovery in the the meeting with the bankers yesterday. "The meeting of the bank consortium was convened in the normal course with a properly circulated agenda. There was no discussion on loan recovery or forced sale of any collateral," it said.

On the number of aircraft it has, the airline said it has 44 aircrafts endorsed in its AoP and intends to operationalise its full fleet post recapitalisation.


Updated Date: Dec 20, 2014 10:03 AM

Also Watch

Watch: Firstpost test rides the new Thunderbird 500X in Goa and walks you through the Royal Enfield Garage Cafe
  • Tuesday, April 17, 2018 Varun Dhawan on Shoojit Sircar's October, 5-star reviews and working with Anushka Sharma in Sui Dhaaga
  • Saturday, April 14, 2018 Ambedkar Jayanti: Re-visiting Babasaheb's ideals exposes fake Dalit politics of Rahul Gandhi and Congress
  • Monday, April 9, 2018 48 hours with Huawei P20 Pro: Triple camera offering is set to redefine smartphone imaging
  • Monday, April 16, 2018 Rajyavardhan Singh Rathore interview: Sports can't be anyone's fiefdom, we need an ecosystem to nurture raw talent