NCLT grants Go First 60-day moratorium extension

livemint.com:

Mint had reported it first on 4 February of Go First likely to get another 60-day extension in the moratorium period to complete the insolvency process. Go First has filed this plea in NCLT for an extension of the corporate insolvency resolution process after completing its initial 90-day extension, which expired on 4 February.

While this extension allows the grounded airline more time for revival, it may further delay the return of aircraft to lessors, who have sought repossession before various courts. Go First filed for bankruptcy protection in May 2023, blaming Pratt & Whitney engine failures for its financial woes.

It has since failed to fly again due to challenges posed by lessors or administrative challenges such as frequent changes of benches in the NCLT. The last effective hearing was in November.

Despite the extension of the moratorium, Go First's future remains uncertain, with no resolution plan emerging in over 270 days of the insolvency resolution process. However, there's been interest from potential buyers, including SpiceJet promoter Ajay Singh, Sharjah-based aviation company Sky One, and lesser-known Busy Bee, all of whom have submitted the required bank guarantee and expressed formal interest in acquiring the beleaguered airline.