Vrihis Properties wins bid for Jet Airways office complex

To pay Rs490 cr ($65mn) for Jet Airways Godrej BKC building 

MUMBAI: The Powai (Mumbai)-headquartered Vrihis Properties Pvt Ltd, has won the bid for sale/transfer of the 3rd and 4th floors of the Jet Airways Godrej BKC building for Rs 490 crore ($65 million).

Jet Airways, which has been under the insolvency resolution process under IBC, for the past one year was represented by Ashish Chhawchharia, the Resolution Professional (RP) appointed by National Company Law Tribunal (NCLT).

The (immovable) property was kept under auction on “as is where is basis”, “as is what is basis”, “whatever there is basis” and “without recourse basis”.

A statement from the RP said that the auctioned property is not a core asset of the company and will not impact the company’s prospects of reviving its aviation business.

The company has decided to accept the offer of the successful bidder for the transfer of the immovable property, at a price of Rs490 crore ($65 million).

“The proceeds from the sale will be utilised as per the directions of the National Company Law Tribunal (NCLT), Delhi, Principal Bench in its order dated June 11, 2020,” the statement added.

It also clarified that the successful bidder is not part of the promoter group of the company or a group company. The proposed transaction will not qualify as a related party transaction.

However, the sale and purchase is contingent upon transaction documents proposed to be executed between the company and the bidder.

“Importantly, the proposed transfer of the immovable property by the company to the successful bidder is contingent (amongst other things) on the successful bidder obtaining the consent of the Mumbai Metropolitan Region Development Authority (MMRDA) for transfer of the property to the successful bidder,” the statement added.

The  NCLT had admitted the State Bank of India-led lenders’ insolvency application against the grounded Jet Airways more than a year ago.

The consortium of 26 bankers led by State Bank of India had taken the airline, which was grounded on April 17, 2018, to India’s bankruptcy court NCLT to recover dues of over Rs8,500 crore ($1.131bn).

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