Go First To Be Officially Liquidated

Go First, a troubled former Indian carrier, had its hopes of a relaunch scrapped after creditors voted unanimously to liquidate the company.

Despite several attempts to find a buyer optimally positioned to take over and breathe fresh new life into Go First, which has been grounded for some time.

However, the Committee of Creditors (CoC) deemed all apparent bidders who attempted to bring a resolution to Go First to be below the required level of expectations.

During the year, there were some bids for the defunct carrier; however, as the CoC touched on each occasion, that deal couldn’t get over the line because of concerns about the deal and prospective terms.

While time was reportedly given to improve the bid, the overall improvement was not visible enough for the lenders to approve a takeover and, thus, relaunch.

Ultimately, the full closing down of the carrier has some complications as it remains an ongoing legal process that stems from the voluntary bankruptcy filing in May 2023.

That very collapse was spurred on by an incredibly difficult position the company found itself in, which included many ongoing disputes between creditors regarding funds and leasing companies.

At its core, Go First aimed to be a low-cost Indian airline with a base in several major cities nationwide. Commencing operations in 2005, the airline utilised the A320 family to its advantage, with flights to markets close to home.

However, as the Indian airline has attempted to progress, it looked to other companies for a more substantial role in supporting the company moving forward.

Furthermore, as the Indian market saw demand rise, the continued growth of other emerging airlines gave Go First a greater run for its money, with obtaining additional market share proving difficult at times.

By 2023, the airline was one of the many stating that the Pratt & Whitney engine saga had impacted it. While Go First would go on to sue the engine provider, Pratt & Whitney was quick to dispute these claims, and thus, Go First spiralled out of control and into a grounded state.