A technical and circumstantial review of Ravi EQS.
Jet Airways is great news and their flights have been reduced in the last 6 months continuously due to their debit settlement issues. Unpaid vendor invoices and unpaid wages to your employees.
Jet airways is not the right choice now; your debt is the reason behind. its asset assessment dropped to -1,946.88cr. Many of their flights are down due to debits. the number of flights that have ceased to fly continues to increase. At the same time, the condition of the flights is also not correct.
Recently, Vijay Malya, founder of Kingfisher Airlines, announced and offered help, but he is unable to pay off the debt that the airlines are now promising. The total debt is around 5,295.12 Cr.
His net worth is now negative at -7,242Cr. Unpaid employee salary, fear of job stability and attrition rate are now 70% on jet airways. However, the estimated Market Capital to date is 3,116.54.
In efforts to save the company, the BSE board also approved the issuance of 11.4 crore equity shares to lenders following the Re 1 conversion of outstanding debt. The lenders will inject up to Rs 1500 crore through debt instruments.
The board also approved the formation of an Interim Management Committee to manage and monitor the daily operations and cash flow of the company.
The airline Jet will use the funds raised to settle outstanding debts with lessors, suppliers, creditors and employees, and planned to put several of its grounded aircraft back to work.
On the other hand, all these activities may take a decent amount of time, the decisions of the board are pending till 30th April 2019. In the same phase, the Indian prime ministerial elections will be under pressure, the government activities may speed up or slow down business activities. In the past, I’ve seen nifty changes that give a large number of actions that are reduced. This is due to the fall that I open interest.
Even though the funds roll up full Q4 earnings will be nil or negative due to the drama going on right now they barely gained in the time between Q3 and Q4 results this is going to be a drought for sellers.
However, the buyout opportunity is yet to come, once the election is over, the impacts on Jet Airways’ fourth quarter results will also be over and the board decisions will also be finalized along with the progress and plans for debt settlement. can be seen investing during June and July in Jet airways.
If the election turned out to be positive, then we can definitely see some short covering. Whatever the results, don’t look long-term with Jet Airways at this point.
Jet Airways as of March 26, 2019 trading at Rs275. Investment range deal seems to be 250 to 310Rs. A short-term exit level for now is 290Rs.