Jet Airways shares fall amid uncertain future

Jet Airways’ share price closed down by 7.7% on Tuesday following a report that it could be about to temporarily end its operations.

The CNBC report prompted the BSE stock exchange in Mumbai to seek clarification from the airline about its future.

In a notice on its website, the stock exchange said it had not yet received a reply from the struggling airline.

Jet Airways spokesman Gaurav Sahni has not responded to requests for comment.

On Monday, Jet Airways was flying just seven of its planes as lenders and bosses met to discuss possible solutions to its growing debt problem.

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Once India’s largest airline, it grounded nearly all of its aircraft last week, leaving thousands of passengers stranded, amid a search for investors to buy 75% of the company.

UAE-based Etihad Airways owns 24% in the company.

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Around 80% of its fleet of 120 aircraft had already been seized as the company struggled to find buyers willing to take on more than £900m in debt it owes to multiple banks.

Flights appeared to be departing and landing at London Heathrow on Tuesday but the airline’s website had a list of dozens of flights that were cancelled until 5 May.

The Economic Times reported that the airline’s lenders demanded more shares from founder Naresh Goyal and planes in exchange for advancing further loans.

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