Shares of Jet Airways gained 12 percent in an otherwise weak market on Thursday after a news report that AdiGro Aviation, part of the London-based AdiGroup, is set to bid for distressed airline Jet Airways on May 10, the last day for bidding. The stock has risen 16 percent in the last 2 days.
Group founder Sanjay Viswanathan said he has the backing of key investors. "We are certainly putting in a bid," Viswanathan told Moneycontrol over the telephone from London.
The stock gained as much as 12.2 percent in intra-day trade on BSE to hit day's high of Rs 147.6. At 2:00 PM, the stock was trading 10.7 percent higher at Rs 145.6 as compared to a 0.9 percent (340 points) fall in BSE Sensex at 37,449.
Viswanathan is also Managing Partner of Adi Partners, which is part of AdiGroup, a global management and investment advisory firm. This will be the first investment in aviation for the group, which also has interests in technology and fintech.
The bid will come as a respite to Jet Airways stakeholders, amid increasing doubts if the airline will attract any investors after its key assets were given away to peers.