Ajay Singh and Sky One team up to submit revival plans for Go First airline

SpiceJet promoter Ajay Singh and Sky One have submitted resolution plans to revive Go First, an Indian airline that ceased operations eight months ago due to financial difficulties. The Wadia-group owned airline faced a cash crunch resulting from Pratt & Whitney engine issues, which led to the suspension of its operations in May of the previous year.

Ajay Singh has joined forces with Busy Bee Airways Pvt Limited, while Sharjah-headquartered aviation firm Sky One has submitted a separate bid to revive Go First. These separate bids offer a glimmer of hope for the airline in rescuing 49 of its 54 Airbus aircraft from being seized by its lessors. The airline is currently battling to save its remaining fleet and has lost most of its workforce in the process.

The next step in the process involves lenders discussing the revival plans at a committee of creditors meeting early next week and deciding on the further course of action. The National Company Law Tribunal has already granted an extra 60 days to complete the insolvency process.

Ajay Singh, in a statement, expressed optimism about the bid’s potential to reshape the Indian aviation landscape. He mentioned that SpiceJet would act as the operating partner for the “new airline,” providing essential staff, services, and industry expertise.

The bids by Singh and Sky One offer hope for the Indian aviation industry, as they could potentially lead to the revival of Go First. The ongoing arbitration claim against Pratt & Whitney and the demand for compensation for the losses caused due to the grounding of aircraft further complicate the situation.

The submission of these revival plans highlights the efforts being made to revive the Indian airline industry and rescue a key player from the brink of closure. As the process moves forward, it remains to be seen whether the bids from Singh and Sky One will prove successful in resurrecting Go First.