Naresh Goyal, businessman and founder chairman of Jet Airways will leave Jet Airways’ Board of directors, he will also step down as CEO. State Bank of India (SBI), a government backed public sector bank is leading a consortium of lenders to become the largest shareholder in Jet Airways with 50,5% shares. Next to Air India, the Indian tax payer is now funding a second Indian airline.
Two other directors will also leave the company: his wife Anita Goyal and Kevin Knight. Two new directors will be assigned by the new owners to lead the airline.
The ailing airline will immediately get additional funds to tackle the debts. An interim management committee will now manage and monitor the daily operations and cash flow of the airline. Between April and June, the lenders will finalize a shares sale to attract new investors.
Naresh Goyal’s 51% stake into the company will be halved to just 25,5% and Etihad Airlines’ stake will be reduced from 24% to just 12%.