Big relief for Go First as lenders approve Rs 400 crore interim funding: Report

In a major relief for cash-strapped GoFirst, the airline's lenders have approved an interim funding of around Rs 400 crore, Moneycontrol reported on Sunday.Last month, GoFirst filed for voluntary insolvency resolution proceedings before the National Company Law Tribunal (NCLT)..

Now, the Committee of Creditors (CoC), which includes the Central Bank of India, Bank of Baroda, Deutsche Bank, and IDBI Bank, has approved the request for additional funding, the report said, citing three persons familiar with the development...

A top banker whose bank is part of the consortium said the lenders have approved around Rs 400 crore to the embattled airline based on the business plan and to support the revival of operations, the news outlet reported..

For now, the amount approved is around Rs 400 to 450 crore, and lenders may be open to additional contingency funding as and when required later for specific events, another banker said.. Earlier this week, Reuters reported that Go First had sought additional funds at a lenders' meeting on Wednesday..

The airline was asking for between 4 billion and 6 billion Indian rupees ($122 million) in additional funds, with lenders expected to evaluate proposals in the next 48 hours.. Go First plans to resume operations in July and operate 78 daily flights with 22 aircraft, a banker told Reuters..

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