Busy Bee Airways to Acquire Go First, NCLAT Hearing

New Delhi, Jan 31 (PTI) Busy Bee Airways, which has challenged the liquidation of grounded carrier Go First, on Friday informed the insolvency appellate tribunal NCLAT that it will try to reach out to the lenders concerned.

It also told the National Company Law Appellate Tribunal that it is ready to acquire Go First as a going concern as it still has valuable assets and a license from the Directorate General of Civil Aviation (DGCA) to operate.

Travel portal EaseMyTrip's co-founder Nishant Pitti is the majority shareholder in Busy Bee Airways.

Meanwhile, counsel appearing from the liquidator of Go First has agreed to file the minutes of the 37th meeting of the Committee of Creditors (CoC) of Go First before the National Company Law Appellate Tribunal (NCLAT), along with the additional affidavit.

The appellate tribunal was hearing two petitions filed by Busy Bee Airways and Bhartiya Kamgar Sena Mumbai, challenging the order of the Delhi bench of the NCLT, which, on January 20, ordered the liquidation of the low-cost carrier.

Trade union body Bhartiya Kamgar Sena Mumbai submitted that around 5,000 workers would be left with nothing if the company is liquidated.

The trade union body requested to keep the airline as a going concern until arbitration with American engine maker Pratt & Whitney concludes at the Singapore International Arbitration Centre.

During the proceedings, senior advocate Krishnendu Datta, appearing for Busy Bee Airways, submitted that "before the next date, it shall try to reach out to the lender", the NCLAT order noted.

A three-member NCLAT bench -- which also comprised Chairperson Justice Ashok Bhushan -- directed to "list both the Appeals on February 10, 2025" for the next hearing.

On January 20, the National Company Law Tribunal (NCLT) ordered the liquidation of Go First, the budget carrier that stopped flying nearly two years ago amid financial woes.

In May 2023, the airline filed for a voluntary insolvency resolution process.

The NCLT had said the CoC in the legislative scheme is empowered to take the decision to liquidate the corporate debtor at any time after its constitution and before confirmation of the resolution plan.

Go Air, which was rebranded as Go First, flew for more than 17 years before suspending operations on May 3, 2023.

During the insolvency resolution process, there were at least two bidders in the fray -- Busy Bee Airways, along with SpiceJet chief Ajay Singh, and Sharjah-based aviation entity Sky One.