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Jet Airways shares hit fresh all-time low of Rs 29.05

BusinessToday.In     June 19, 2019

Shares of Jet Airways extended its losing streak for the fourteenth straight day on Wednesday, falling over 28 per cent to hit a new low of Rs 29.05, at the Bombay Stock Exchange after lenders led by State Bank of India (SBI) filed insolvency plea against the airline.

Extending its previous session losses, share price of Jet Airways plunged as much as 28.18 per cent to hit an all-time low of Rs 29.05, compared to the previous close of Rs 40.45 on the BSE. Paring some of the early losses, the stock ended at Rs 33.10 apiece, down 18.17 per cent.

Jet shares reported highest-ever single-day fall of 53 per cent on Tuesday, before closing 41 per cent lower at Rs 40.45 apiece, a day after lenders decided to take the ailing airline to bankruptcy court to recover their Rs 8,500 crore dues instead of an outright sale to the lone bidder.

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The airline's share price has been on a selling spree for the last 13 days, falling over 76 per cent during the period. The stock has tumbled over 51 per cent in the last three days only. With Wednesday's fall, Jet Airways shares plunged 97 per cent from its initial public offering price of Rs 1,100 on 14 March 2005.

Jet Airways, the first private airline to be listed on the National Stock Exchange (NSE), raised about Rs 1,900 crore from the IPO, while its issue was subscribed 16 times. Shortly after being listed on bourses, Jet Airways touched its all-time high price of Rs 1,379 on April 26, 2005.

SBI, along with 26 other banks on Monday unanimously decided to initiate bankruptcy proceedings against the cash-strapped airline. A day later, the lenders filed insolvency plea against the debt-laden airline at the National Company Law Tribunal (NCLT), Mumbai. The Mumbai bench of the NCLT on Wednesday said that it will hear SBI's insolvency petition against Jet Airways on June 20.

Edited by Chitranjan Kumar

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