Mallya's Kingfisher close to collapse - reports

Rumors continue about the Indian airline Kingfisher owned by Sahara Force India's owner Vijay Mallya.

Feb.14 (GMM) Force India boss Vijay Mallya's grounded airline Kingfisher appears close to folding.

Respected business newspapers, including the Wall Street Journal, said plans by Kingfisher's lenders to recall loans is "likely to cause severe financial strain" across Mallya's entire portfolio.

Sahara Force India F1 VJM05 Kingfisher branding on front wing
Sahara Force India F1 VJM05 Kingfisher branding on front wing

Photo by: XPB Images

"Fifteen days earlier, I would have given a confident answer. Today I have none," an unnamed 'senior Kingfisher executive' is quoted as saying.

An aviation official told the Times of India newspaper: "It is almost the end of the road for Kingfisher."

The Business Standard said among collateral available to lenders are assets like helicopters, while Mallya's villa in Goa, India, is being sold.

The Financial Times said another of Mallya's houses near Mumbai has already been collateralised.

Representing Kingfisher's lenders, the State Bank of India's deputy managing director Shyamal Acharya told The Hindu: "We gave them enough time. They are not saying anything new or credible."

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About this article
Series Formula 1
Teams Force India
Article type Rumor
Tags kingfisher, mallya, sahara force india