Technically and effectively bankrupt in any other country, JetAirways of India has offered up to 75% of itself for sale, provided you qualify to buy its shares.
Bids must be in by April 10th and you must have demonstrable net worth of at least $144m in US dollars over the last financial year. And you must have three years experience in the airline business.
Any consortium thinking they might buy up the company, has to be limited to three members and they must buy at least 15% each to qualify.
So in a couple of sentences, you’ve whittled down the opportunities to a very select group indeed. Under Indian law the maximum a foreign consortium could take up is 49%, so if they really want a 75% stake adopted inside India, this is really a call to the other airlines operating in the country, especially if you take in to account the 3 years of airline experience requirement.
Is it too little too late, or is it all a behind the scenes make it look right put-up job? If the government and the airlines all know someone will step forward, then making it so that it only fits a certain tiny group may seem open and transparent, but really it’s just a clever way of ensuring the right pre-selected buyer gets their hands on it. With so much at stake and an election in the offing nobody will be taking chances.