Jet Airways on Friday said its shareholders have approved with majority all the proposals put forth by the company, voting for which happened at the extraordinary general meeting on Thursday.
Shareholders approved the conversion of debt into equity that was sought by the airline, as this is required for the ongoing debt restructuring and resolution plan, and for share swap of debt into equity by the banks. Shareholders also approved and authorised the company to increase its share capital from Rs 200 crore to Rs 2,200 crore, and also the alteration to the articles of association of the company. On February 14, the Jet board had approved a Bank-Led Provisional Resolution Plan (BLPRP) received from the State Bank of India, which is the lead lender, under the RBI circular of February 12, 2018.
In the next stage, the BLPRP will be presented for consideration and approval to the consortium of lenders, the overseeing committee of the Indian Bankers’ Association, the board of directors of Etihad Airways, and the promoter of Jet Airways. It would also require the approval of the Sebi, Ministry of Civil Aviation, and the Competition Commission of India.