What is more disturbing is: when the news comes in a pathetic way like, "Kingfisher Airlines Ltd shares fell as much as 4.8% to a record low of Rs.6.9 and headed for a third consecutive losing session on fears regulators may not allow the carrier to restart operations, two dealers said".
The question is: who are these "DEALERS" based on whom price sensitive information is presented by the media...? 2ndly, how do these "DEALERS" know what is happening inside the company? Or it's just a wild guess? However, this is not an isolated case of the Indian media, but is a reflection of the rot in the system, world-wide. Anyway, let us explore a bit to understand the things a little better.
Earlier this month, the UBHL moved the Bombay high court for a three-week halt on banks selling shares of UB group companies that were pledged with them as collateral for loans. This means that U B Group expects the deal money to hit the shores any time from now, as we move into the third week of this month.
When UB Group-Diageo deal was struck, Dr.Mallya did not say whether the proceeds would be used to revive Kingfisher Airlines or not. But in mid-February, a senior UB group executives said that the conglomerate would indeed use the Diageo money to restart Kingfisher after the airline’s lenders said they had decided to recall all their loans.
This gives us a brief picture of the things to follow in the coming days, regardless of what the media professes to grab the eye--balls. THEREFORE, WHERE IS THE QUESTION OF A "BLEAK REVIVAL PLAN"........??!!
The revival plan has been submitted to the DGCA, and it will need some time to get approval. We need to have patience if we want to make it big. If you recollect a bit: Kingfisher Airlines Ltd, already has the license (NOC) from the authorities of the airports which are privately managed--so for the time being AAI-issue does not carry much value. Some investors are selling in panic due to the media reports. CMP: Rs.6.89.