Jet Airways shares hit 5% upper circuit after DGCA nod to air operator certificate

economictimes.indiatimes.com:

Jet Airways shares hit the 5% upper circuit of Rs 51 on BSE after the Jalan-Kalrock Consortium (JKC)-owned airline company secured renewal for its air operator’s certificate from the Indian civil aviation regulator. The Director General of Civil Aviation (DGCA) on Friday, July 28, re-issued the Air Operator Certificate (AOC) which expired on May 19, 2023, as the airline did not start operations after getting an AOC from the DGCA on May 20, 2022, PTI reported. The renewal of AOC revalidates the confidence of the Indian aviation regulator in the revival of Jet Airways, the PTI report said, quoting from the statement.

The cash-strapped Jet Airways stopped flying on April 17, 2019. JKC emerged as the winning bidder for the grounded Jet Airways after an insolvency resolution process. However, the ownership transfer to JKC is yet to happen amid persistent differences between JKC and the lenders of the airline, the report further said.

According to the statement, JKC remains fully dedicated to the revival of Jet Airways and is committed to implementing a comprehensive strategy to ensure the airline's success. «JKC will continue to work closely with all relevant authorities, industry partners, and stakeholders in reviving Jet Airways in coming weeks,» it added. Last week, JKC announced the appointment of Jatinderpal Singh Dhillon, the airline's accountable manager.

Earlier this month, two whole-time directors and a non-executive director were appointed at Jet Airways. The stock is currently trading at a discount of 114% from its 52-week high of Rs 107 which the stock hit in August 2022. It hit its 52-week low of Rs 36 on July 21, 2023.