MUMBAI : The bidding process for stake sale of beleaguered airline Jet Airways (India) Ltd., will commence from 8 April, while the interested bidders will have to submit their bids by 10 April, public sector bank State Bank of India said in an advertisement on Sunday.

"...We State Bank of India, and SBICAPs , on behalf of the lenders, hereby invite expression of interest (the EOI) from interested investors/consortium of investors having requisite capacity (the interested parties) on the terms set out under the expression of interest document dated April 8, 2019...," SBI said in an advertisement.

"Interested parties are required to submit the EOI pursuant to the terms set out under the EOI document by 6 pm on April 10...," it added.

Mint has reviewed a copy of the advertisement.

The SBI-led consortium of banks to the ailing airline had last week said that bid for the stake sale in Jet Airways would be issued on 6 April, and the deadline for submission would be 9 April. This had since then been postponed.

Jet Airways, which has been struggling to continue flying, has yet to pay salaries since January to a section of its staff—including pilots, engineers and general managers. It has lease rental payments, forcing lessors to ground a large part of its fleet. It has also deferred scheduled interest to banks.

As a result, a consortium of lenders led by the State Bank of India (SBI) took control of Jet Airways, in March, promising to throw open a bidding contest for a new investor that is expected to be completed in the June quarter.

The lenders had in February agreed to convert a portion of the airline's debt into equity by agreeing to take a 50.5% stake in Jet Airways, nominate two members to its board and make a cash infusion of about Rs1,500 crore into the airline, which is likely to take care of some of the immediate issues faced by the airline such as delay in payments to employees, lessors and others.

However, recently the Supreme Court of India quashed Reserve Bank of India's February 12, 2018 circular, which prescribed rules for recognising one-day defaults by large corporates and called for insolvency action as a remedy.

Jet Airways founder Naresh Goyal and his wife Anita Goyal had on 25 March agreed to step down from their respective positions in the airline. As a result, Naresh Goyal also ceases to be the chairman of the company.

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