Go First Insolvency: Aviation company Go First is going through the process of insolvency these days. Many companies including Spice Jet are among the potential buyers for that…
Now some parties have shown interest in buying the aviation company Go First, which is struggling with the insolvency process after the financial crisis. Domestic budget airline Spice Jet is also one of the potential buyers showing interest in Go First.
These three companies showed interest
According to a report in Economic Times, apart from Spice Jet, two more entities have shown interest in buying Go First. They include Africa’s Safaree Investments and Sharjah-based aviation company Sky One. The three companies have shown interest in buying Go First even though the deadline for submitting the proposal has already passed and the lenders are considering liquidation of the company.
Requests sent to resolution professional
According to the report, all three companies that have shown interest in buying Go First have requested to extend the deadline for submitting the proposal. For this, he has sent a request during the last 10 days to the resolution professional Shailendra Ajmera, who is handling the corporate insolvency resolution process of Go First. Now the Committee of Creditors is going to hold a meeting after considering these requests, in which it will be considered whether the deadline can be extended or not.
No bid received till 22nd November
The deadline for making the offer under the insolvency process of Go First was 22 November. That means, potential buyers were given time till November 22 to present their offers. Till 22 November no one showed interest in buying Go First. After the deadline, lenders were left with two options – either to extend the deadline or to proceed on the path of liquidation.
Deadline expected to increase
Naveen Jindal of Jindal Steel and Power had submitted an expression of interest for Go First, but he did not make a final offer. He had neither submitted a final bid nor sought additional time from the lenders. Now that three companies are showing interest in buying Go First, there is increased hope that the lenders will extend the deadline.
