SpiceJet Chief Ajay Singh Teams Up With Busy Bee Airways To Bid For Bankrupt Go First

The bid, made public on Friday, represents a collaboration between Singh in his personal capacity and Busy Bee Airways Pvt Ltd

Go First ceased operations in May last year due to financial difficulties and is currently undergoing insolvency resolution proceedings.

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Ajay Singh, the chief of SpiceJet, has joined forces with Busy Bee Airways to submit a bid for the bankrupt airline Go First. The bid, made public on Friday, represents a collaboration between Singh in his personal capacity and Busy Bee Airways Pvt Ltd. According to a statement released by SpiceJet, the partnership aims to leverage synergies between the two carriers, focusing on improved cost management, revenue growth, and enhanced market positioning within the Indian aviation industry. SpiceJet will serve as the operational partner, providing essential staff, services, and industry expertise.

Singh, who also serves as the Chairman and Managing Director of SpiceJet, expressed confidence in the potential of Go First, highlighting the benefits that could arise from a close collaboration between the two airlines. "Go First possesses coveted slots at domestic and international airports, international traffic rights, and an order for over 100 Airbus Neo planes. It is a trusted brand among flyers," Singh stated in the release. "I am pleased to contribute to the efforts aimed at revitalising this popular airline and leveraging its strengths for mutual growth and success."

Go First ceased operations in May last year due to financial difficulties and is currently undergoing insolvency resolution proceedings. Specific details regarding Busy Bee Airways were not immediately available.

On February 13, the National Company Law Tribunal (NCLT) has approved a further extension of 60 days to conclude the resolution process for Go First, the grounded airline. This decision was made by a two-member bench of the NCLT based in Delhi, in response to a request from the resolution professional (RP) overseeing Go First's corporate insolvency resolution process (CIRP).

Representing the RP, Diwakar Maheshwari informed the tribunal that three parties have already submitted their expressions of interest for acquiring Go First and have also deposited the earnest money. The extension aims to allow these parties sufficient time to prepare and present their resolution plans. Go First has been undergoing CIRP since May 10, 2023.

Among the interested companies are Spicejet, Sky One based in Sharjah, and Safrik Investments, which focuses on the African continent. They are expected to present their proposals for the acquisition and revival of Go First during this extended period.