Go First gets loan, lease rental payments breather amid Covid-19

Wadia group backing helps airline negotiate with BNP Paribas, aircraft lessors

Go First, formerly known as Go Air, has successfully negotiated a longer repayment term for one of its loan accounts with French lender BNP Paribas, sources in the banking industry said.

The airline, which is preparing for an initial public offering to raise up to Rs 3,600 crore, has also received positive signals from aircraft lessors on deferring lease payments in view of the Covid-19 pandemic.  

Go First initially wanted to restructure the loan in accordance with the K V Kamath panel’s guidelines on loan recast, but it was not acceptable to the bank. Following this, the airline negotiated with the lender