Jet Airways Sells 3 Boeing 777s for $46 Million

Jet Airways has completed the sale of three grounded Boeing 777-300ER jets for US$46 million, concluding a multi-year insolvency process that involved extensive court proceedings and regulatory approvals. The aircraft, parked in Mumbai for nearly six years, will now join the fleet of European cargo operator Challenge Group.

Ownership has been formally transferred to Malta-based Ace Aviation, part of Challenge Group, after a prolonged legal journey through India’s insolvency framework. The buyer initially secured purchase rights in October 2022 by submitting earnest money and signing letters of intent. However, the sale was delayed when the lender-controlled monitoring committee paused the transaction following objections from the Jalan Kalrock Consortium, which had sought to revive Jet Airways.

The dispute progressed through the National Company Law Tribunal and National Company Law Appellate Tribunal before reaching the Supreme Court, which ultimately cleared the sale. Additional hurdles arose when Mumbai International Airport Limited raised objections over unpaid parking dues accumulated after Jet entered liquidation. A consent agreement resolved the outstanding charges, and the airport issued a no-objection certificate, lifting its lien on the aircraft.

The completed transaction marks the first successful sale of Boeing 777 widebody aircraft under India’s insolvency and liquidation framework, setting a significant precedent for aviation asset resolution. Aircraft insolvency cases often involve complex international leasing structures, airport claims, and cross-border creditor interests. The Jet Airways case demonstrates that high-value grounded assets can still attract buyers once legal clarity is achieved.

For Challenge Group, the acquisition expands its long-haul cargo capacity at a time when global freight demand remains resilient. The aircraft are expected to be integrated into cargo operations following technical preparations.

Founded in 1993, Jet Airways once operated flights to 74 destinations with more than 300 daily departures. Financial strain, mounting competition, and lease defaults led to its suspension of operations in April 2019. In November 2024, India’s Supreme Court ordered the airline’s liquidation after revival efforts failed.

The sale closes one of the longest-running aviation asset cases tied to Jet Airways’ collapse and signals renewed momentum in resolving distressed airline assets in India’s aviation sector.

Sources: AirGuide Business airguide.info, bing.com, aviationa2z.com