Jet Airways shares plunged for third day in a row to the lowest level in 10 years after it temporarily halted operations on Wednesday as it failed to secure emergency funding from the lenders. Jet Airways share price fell as much as 19.34 per cent intraday on the BSE to Rs 132.20. On the National Stock Exchange, Jet Airways share price slumped as much as 23.17 per cent to hit a 10-year low of Rs 126.65.
In the last three trading sessions, Jet Airways shares has slumped as much as 47.33 per cent on the National Stock Exchange. (Also Read: How To Initiate The Refund Process On A Jet Airways Ticket)
The debt-laden Jet Airways failed to secure emergency funding from the consortium of lenders led by State Bank of India and had to shut down all its operations temporarily. Since no emergency funding from the lenders or any other source is forthcoming, the airline will not be able to pay for fuel or other critical services to keep the operations going. Consequently, with immediate effect, Jet Airways is compelled to cancel all its international and domestic flights, Jet Airways said in a statement on Wednesday.
Jet is saddled with $1.2 billion in debt and it has not paid its pilots, lessors, technical and ground staff in at least last three months.
Jet Airways today said that its non-executive and non-independent director Nasim Zaidi has quit the board citing personal reasons and time constraints.
Before joining the Jet Airways board in August 2018, Mr Zaidi had served as civil aviation secretary and chief election commissioner.
"This is to inform you that Nasim Zaidi has submitted his resignation as a Non-Executive, Non-Independent Director of the company with effect from April 21 due to personal reasons and constraints of time," Jet Airways informed stock exchanges in regulatory filings.
As of 12:05 pm, Jet Airways shares traded 12.32 per cent lower at Rs 143.70 on the BSE, underperforming the Sensex which was down 0.73 per cent. Trading volume in Jet Airways shares was higher than usual as 37 lakh shares changed hands on the BSE compared with an average of 21 lakh shares traded daily in the past two weeks.