Jet Airways shares jump 5 per cent; touch upper circuit limit
The airways shares climbed after Jalan-Kalrock Consortium said aviation regulator DGCA has renewed the airline's air operator certificate
Jet Airways
New Delhi: Shares of Jet Airways jumped five per cent on Monday after Jalan-Kalrock Consortium, the winning bidder for the bankrupt firm, said aviation regulator DGCA has renewed the airline's air operator certificate.
The stock climbed 4.98 per cent to settle at Rs 50.80 apiece, its highest trading permissible limit for the day, on the BSE. On the NSE, it jumped 4.91 per cent to end at Rs 51.30 per share its upper circuit limit.
Cash-strapped Jet Airways stopped flying from April 17, 2019. The Air Operator Certificate (AOC) was re-issued on May 20, 2022. However, since the airline did not start operations, AOC expired on May 19, 2023.
In a statement, the Jalan-Kalrock Consortium (JKC) said it has "successfully obtained renewal for AOC of Jet Airways from the Directorate General of Civil Aviation (DGCA) on July 28, 2023". The renewal of AOC revalidates the confidence of the Indian aviation regulator in the revival of Jet Airways, it added.
JKC emerged as the winning bidder for grounded Jet Airways after an insolvency resolution process. However, the ownership transfer to JKC is yet to happen amid persisting differences between JKC and the lenders of the airline.
