Go First's Insolvency Process Extended By 60 Days
This marks the final extension allowable by the NCLT, as the CIRP must be completed within 330 days. Failure to secure a takeover within this timeframe will lead to the airline going into liquidation.
Go First has received a 60-day extension from the National Company Law Tribunal for its to corporate insolvency resolution process as three parties have expressed interest in taking over the grounded budget carrier.
The resolution professional representing Go First informed the NCLT about the interest from potential buyers.
Previously, on Nov. 6, an extension of 90 days had been approved by the NCLT, with the deadline set for Feb. 4. However, considering the evolving situation and the interest shown by prospective bidders, the NCLT has now extended the CIRP by an additional 60 days, effectively concluding on April 5.
It's crucial for the resolution plan to be finalised within this specified timeframe. The 60-day extension starts from Feb. 4. Notably, this marks the final extension allowable by the NCLT, as the CIRP must be completed within 330 days.
Failure to secure a takeover within this timeframe might lead to the airline going into liquidation.
As reported earlier by NDTV Profit, Go First has attracted interest from potential bidders. Safrik, an Africa-based company, and Sky One, an aviation firm headquartered in Sharjah, have jointly expressed interest in acquiring Go First during the insolvency proceedings.
Additionally, SpiceJet Ltd. has also shown interest in the airline as an alternative bidder.