Lenders of India's grounded Jet Airways may not give more cash to new owners

Photo: Abhijit Bhatlekar/Mint

Lenders to Jet Airways (India) Ltd may not inject fresh capital into the grounded airline and instead choose to convert unsustainable debt into equity, said two bankers with direct knowledge of the matter.

To be sure, the lenders haven’t yet received any formal request for additional funds from the new owners of Jet Airways but their pre-emptive move has put a question mark on the revival of the carrier that hasn’t flown since April last year.

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