GoFirst gets a fourth suitor in NS Aviation; lenders seek bids by January 31

NS Aviation’s website further reads, “NS Airline, brings to India, an exclusive launch by the end of 2023 with a fleet of 25 Airbus 320-NEO for consumers, an additional fleet of 10 cargo aircraft. Will continue to expand to 100 airbus, heli services, private charters, smaller aircraft, and other aviation services in the next three years following the launch.”

In parallel, the committee of creditors of GoFirst has decided to extend the deadline to submit Expressions of Interest (EOI) for the airline to January 19, according to people familiar with the matter.

Further, the lenders have tentatively set January 31 as the deadline for eligible suitors to submit bids for GoFirst, keeping in mind that the maximum period of 270 days allowed for completion of the Corporate Insolvency Resolution Process (CIRP) under the bankruptcy law ends on February 4 for the airline. However, this could be extended if needed, CNBC-TV18 has learnt.

"Once we have an indication that there will be serious bids made, we can go to the NCLT to seek more time for the CIRP and then give players more time to submit bids," said a person directly involved in the matter.

CNBC-TV18 had earlier reported that three players, including SpiceJet, a Sharjah-based aviation consultant by the name of Sky One, and Safrik, which is an investment firm focused on Africa, had shown interest in acquiring the airline under IBC. These suitors had come forward only after the initial November 22 deadline to submit EOIs for GoFirst had ended with no suitors coming forward.

CNBC-TV18 had also earlier accessed SpiceJet CMD Ajay Singh’s letter to GoFirst's Resolution Professional (RP) Shailendra Ajmera, which read, “The Company has recently approved and initiated the process of raising fresh capital of about US$ 270 million to strengthen its financial position and provide resources to invest in growth plans. The Company is interested in the resolution process of Go First and wishes to submit an Expression of Interest (“EoI”) along with a viable resolution plan for the revival of Go First...We understand that the last date for submitting EoI has elapsed and therefore request you to please allow us to file EoI for Go First along with a credible revival plan within a definite timeline.”

GoFirst has total liabilities amounting to ₹11,463 crore, of which bank dues make up ₹6,521 crore. Lenders, including the Central Bank of India, Bank of Baroda, Deutsche Bank, and IDBI Bank, are among the key creditors involved in this case.