{"id":9168,"date":"2023-10-11T12:00:06","date_gmt":"2023-10-11T12:00:06","guid":{"rendered":"https:\/\/aviation-news.info\/?p=9168"},"modified":"2023-10-11T12:00:06","modified_gmt":"2023-10-11T12:00:06","slug":"potential-buyers-lodge-eois-for-indias-go-first","status":"publish","type":"post","link":"https:\/\/aviation-news.info\/?p=9168","title":{"rendered":"Potential buyers lodge EOIs for India’s Go First"},"content":{"rendered":"

Aviation news international – The deadline has passed for potential buyers to lodge Expressions of Interest (EOI) for India’s Go First<\/a>\u00a0(GOW,\u00a0Mumbai International<\/a>), with three “reasonably strong” entities among many reportedly doing so before the October 7, 2023, cut-off date.<\/p>\n

The\u00a0sale<\/a>\u00a0of the low-cost carrier, which\u00a0ceased flying<\/a>\u00a0in May, is being handled by its resolution professional, Shailendra Ajmera, an insolvency expert and partner at Ernst & Young’s Delhi office. According to a Times of India report, multiple EOIs were lodged, but the three standouts included a sizeable local corporate entity and at least one foreign carrier. Neither\u00a0IndiGo Airlines<\/a>\u00a0(6E,\u00a0Delhi International<\/a>) nor\u00a0Air India<\/a>\u00a0(AI,\u00a0Mumbai International<\/a>) are believed to have participated in the process.<\/p>\n

Ajmera has received claims totalling USD2.9 billion from Go First’s operational and financial creditors as pressure mounts on the airline’s management to restart the airline before it is too late. While a National Company Law Tribunal (NCLT)\u00a0ruling<\/a>\u00a0has allowed Go First to retain its 54 leased\u00a0Airbus<\/a>\u00a0narrowbodies, along with their engines, that ruling is soon set to expire. In addition, with salaries going unpaid, employees\u00a0continue to resign<\/a>\u00a0in large numbers. The newspaper reports that Go First retains around 3,000 personnel, but only about 150 are pilots.<\/p>\n

A\u00a0decision<\/a>\u00a0last week by the Indian government to bring India’s aviation rules in line with the 2001 Cape Town Convention further threatens Go First’s restart. The changes to India’s Insolvency and Bankruptcy Code (2016) mean that asset-freezing orders will not apply to aircraft frames and engines, making it easier for lessors to repossess and repatriate aircraft after an airline becomes insolvent. The impact of this change on Go First is yet to be ascertained but will likely feature in multiple upcoming NCLT hearings involving multiple lessors. Go First acquired all of its aircraft from lessors. According to\u00a0ch-aviation fleets advanced<\/a>\u00a0data, lessors include\u00a0Avenue Capital Group<\/a>,\u00a0BOC Aviation<\/a>,\u00a0CCB Financial Leasing<\/a>,\u00a0CDB Leasing<\/a>,\u00a0DAE Capital<\/a>,\u00a0ICBC Financial Leasing<\/a>,\u00a0Jackson Square Aviation<\/a>,\u00a0Maverick Aviation Partnership<\/a>,\u00a0Merx Aviation Finance<\/a>,\u00a0Minsheng Financial Leasing<\/a>,\u00a0SKY Leasing<\/a>, and\u00a0SMBC Aviation Capital<\/a>. Matters relating to lessors currently before the NCLT include:<\/p>\n