Jet Airways shares plunge 22.5%, hit 1-year low amid reports hint at lack of interest among bidders to follow up EoI

New Delhi: Shares of Jet Airways plunged 22.5 percent on Thursday amid a report that bidders for Jet Airways so far appear uninterested in following up on their expressions of interest (EoI).

Investors deserted the Jet Airways counter since the start of trading in the morning, with the scrip falling sharply by 20.41 percent to Rs 122 — its 52-week low — on the BSE.

 Jet Airways shares plunge 22.5%, hit 1-year low amid reports hint at lack of interest among bidders to follow up EoI

Representational image. AFP

On the National Stock Exchange (NSE), it tumbled 22.46 percent to hit a one-year low of Rs 118.90.

On the traded volume front, 24.26 lakh shares were traded on the BSE and over two crore shares on the NSE during the morning trade.

Three of the four qualified bidders — Etihad Airways, TPG Capital and Indigo Partners — have not signed non-disclosure agreements necessary for conducting due diligence, with just days left now to submit their final bids, The Economic Times newspaper reported, citing sources.

The bidders have until 10 May to submit their offers, but stakeholders are not hopeful, the paper said.

“We are staring at an obituary,” the daily quoted an executive at one of Jet Airways’ key lenders as saying.

Jet Airways management has also been trying to tap India’s biggest business houses for investment, the paper said.

They have met executives at Mahindra, Adani, Tata group and Reliance Industries in the last two weeks, but none of the conglomerates have responded positively, it said.

Jet Airways ceased operations on 17 April after months of financial difficulties and multiple attempts at saving the oldest private sector airliner failed.

With Reuters inputs

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Updated Date: May 02, 2019 14:14:45 IST