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Jet Airways, once India’s largest airline, has returned to the skies after three years of grounding. The airline, which was founded in 1993 by Naresh Goyal, ceased operations in 2019 due to financial difficulties.
The new Jet Airways is owned by a consortium of investors led by the Indian conglomerate Tata Group. Goyal, who had a controlling stake in the old Jet Airways, has no role in the new airline.
The return of Jet Airways is a major boost for the Indian aviation industry. The airline is expected to create thousands of jobs and provide much-needed competition to other airlines.
How did Jet Airways go bankrupt?
Jet Airways’ bankruptcy was a result of a number of factors, including:
- High debt levels: The airline had accumulated a debt of over $1 billion.
- Rising fuel costs: The airline was unable to pass on the rising fuel costs to its customers.
- Competition from other airlines: The airline faced increasing competition from other low-cost airlines.
- Poor management: The airline was also plagued by poor management decisions.
What is the future of Jet Airways?
The future of Jet Airways is uncertain. The airline has a lot of ground to make up, and it will need to attract passengers and win back the trust of the travelling public. However, the airline has a strong brand name and a loyal customer base, and it is possible that it can be successful in the long run.
What does this mean for Naresh Goyal?
The return of Jet Airways without Goyal is a major setback for the businessman. Goyal had built Jet Airways into a major airline, and he had hoped to regain control of the airline when it emerged from bankruptcy. However, his plans were thwarted by the Tata Group, which acquired a majority stake in the airline.
Goyal is now left with a small stake in Jet Airways, and he is unlikely to have any say in the running of the airline. This is a major blow to Goyal, who had built his career around Jet Airways.
The return of Jet Airways is a significant event in the Indian aviation industry. The airline is expected to create thousands of jobs and provide much-needed competition to other airlines. However, the future of Jet Airways is uncertain, and it will need to attract passengers and win back the trust of the travelling public in order to be successful.
