Jet Airways shares tank over 6 % over debt payment defaults

The full service carrier has been grappling with financial woes for quite some time now and has been making delayed salary payments to staff.

New Delhi: Shares of crisis-hit Jet Airways closed over 6 percent down after following news that it had defaulted on loan repayment to banks.

The stock of the full service carrier declined 6.16 percent to Rs 263.75 on BSE. On NSE, shares of the company fell 6.89 percent to Rs 261.45.

The company has been grappling with financial woes for quite some time now and has been making delayed salary payments to staff.

"Payment of interest and principal installment due to the consortium of Indian banks (led by State Bank of India) on December 31, 2018, has been delayed due to temporary cashflow mismatch," the company said in a regulatory filing.

The company has engaged with them (banks) in relation to the same, Jet Airways added.

The carrier has posted three consecutive quarterly losses of over Rs 1,000 crore each since March 2018.

Rating agency Icra has also downgraded its ratings on the airline's long-term and short-term fund facilities.

With Agency Inputs