Creditors put up 'Kingfisher Airlines' brand for sale
08 April 2014
SBICAP Trustee Co, a wholly-owned subsidiary of SBI Capital Markets, has put up the Kingfisher Airlines brand for sale, to recover dues it owes to a batch of creditors led by State Bank of India (SBI).
SBICAP, acting on behalf of the consortium of lenders, has floated an expression of interest from parties willing to buy the Kingfisher Airlines' trademarks.
This marks the beginning of the sale of assets of Kingfisher, owned by the Vijay Mallya-led UB Group.
The Kibgfisher brand had been valued at about Rs3,000 crore five years ago.
The airline owes the SBI-led consortium of banks over Rs7,500 crore.
The Kingfisher trademarks being put up for sale include 'Fly Kingfisher', 'Fly the Good Times,' 'Funliner' and 'Kingfisher', and 'Flying Models' registered in the name of UB Holdings.
"SBICAP Trustee Co invites expression of interest (EoI) from parties who wish to indicate their interest to acquire the trademarks pertaining to Kingfisher Airlines on "as is where is" and "as is what is" basis. The interested parties may submit the EoI with indicative purchase price/s," SBICAP said in its web site.
"The submitted EoI shall be considered solely for determining estimated market value of the trademarks and to determine interest of prospective buyers to acquire the subject trademarks," the EoI document said.
The last date for filing the expression of interest is 21 April.
Kingfisher Airline, which stopped operations in October 2012, also owes several crores of rupees to airline-leasing companies, oil companies and airports.
Meanwhile, Kingfisher Airlines on Monday announced the resignation of three of its board members - Ravi Nedungadi, SR Gupte and MS Kapur – leaving the company's board with just Vijay Mallya, who is also the promoter of the airline.