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It has been more than seven years since Jet Airways operated its last flight. The Indian airline suspended all operations in April 2019 after failing to secure the emergency funding it needed to continue flying. Years of financial problems left the carrier with more than $1.2 billion in debt, bringing an abrupt end to an airline that had once operated a fleet of almost 120 aircraft. More than 80% of Jet Airways’ fleet was leased, and payment defaults led lessors to reclaim many of those aircraft.
The airline did, however, retain a few widebodies that it owned outright, including five Boeing 777-300ERs and several Airbus A330s. Those aircraft remained tied up in the insolvency proceedings for years, with some of the 777s sitting grounded at airports in Mumbai and Delhi. In February, three of the aircraft were finally sold to Malta-based Ace Aviation, a subsidiary of Challenge Group, for a combined value of over $40 million.
Jet Airways’ Three Mumbai-Based 777s Sold For $46 Million
The three 777-300ERs sold were VT-JES, VT-JEV, and VT-JEM. VT-JES, airframe MSN 35159, sold for $16 million; VT-JEV, airframe MSN 35158, sold for $12.5 million; and VT-JEM, airframe MSN 35162, sold for $17.5 million. Together, the three aircraft generated $46 million through the liquidation process. The sale was conducted under India’s Insolvency and Bankruptcy Code (IBC) and required approval from the National Company Law Tribunal (NCLT) following consultation with the stakeholders’ committee.
The process, however, had been underway for several years. When Jet Airways suspended operations on April 17, 2019, all three aircraft were parked at 
Chhatrapati Shivaji Maharaj International Airport (BOM) in Mumbai. Ace Aviation had originally won a conditional auction for the three aircraft in October 2022, paid a $4.6 million earnest deposit, and signed a Letter of Intent, but the transaction was subsequently blocked.
The Jalan-Kalrock Consortium, which had sought to revive Jet Airways as a passenger airline, challenged the sale, arguing that the aircraft should remain with the airline. In addition, Mumbai International Airport Limited also refused to release the aircraft, citing nearly $104.35 million (₹1,000 crore) in unpaid parking charges that had accumulated during their years at the airport. However, the Mumbai bench of the NCLT admitted only about $53.23 million (₹510.75 crore) of MIAL’s claim and rejected the remainder.
The situation changed after the Supreme Court of India ordered the liquidation of Jet Airways in November 2024, ending the revival effort and directing that the airline’s assets be sold to recover funds. On February 11, 2026, Jet Airways informed the stock exchanges that it had finalized the formal Sale and Purchase Agreements with Ace Aviation for the three 777-300ERs.
Two More Jet Airways 777s Sold For $61.4 Million
Two more 777-300ERs were still parked at 
Indira Gandhi International Airport (DEL) in Delhi at the beginning of 2026. After the Supreme Court ordered the airline’s liquidation, the court-appointed liquidator took control of these aircraft and put them up for sale through BAANKNET, the e-auction platform used for insolvency proceedings. The auction took place in March and attracted several bids.
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Ace Aviation eventually won the auction for approximately $61.4 million (₹568 crore). The final price was considerably higher than the liquidator’s combined reserve price of approximately $38 million (₹356.7 crore). VT-JET, airframe MSN 35157, was sold for approximately $33 million (₹309.24 crore). Its reserve price was $18.3 million (₹171.80 crore). VT-JEU, airframe MSN 35160, had a reserve price of $19.7 million (₹184.95 crore) and was sold for approximately $27 million (₹258.93 crore).
Aircraft | MSN | Sell Price |
|---|---|---|
VT-JES | 35159 | $16 million |
VT-JEV | 35158 | $12.5 million |
VT-JEM | 35162 | $17.5 million |
VT-JET | 35157 | $33 million |
VT-JEU | 35160 | $27 million |
Notably, Challenge Group had already secured an interest in the two Delhi-based aircraft in 2022. When the group paid the earnest deposit for the three Mumbai-based 777s, it paid an additional $1 million token amount for the two aircraft in Delhi. The payment basically gave the group a Right of First Refusal (ROFR) over the remaining two aircraft. This meant that Challenge Group had the first opportunity to acquire them once they were cleared for sale.
The two 777s also accumulated substantial parking charges during their years at DEL. Delhi International Airport Limited (DIAL) had filed a claim of approximately $36.68 million (₹352 crore) for the outstanding parking fees, although the insolvency tribunal admitted only part of the claim. This issue had to be resolved as part of the liquidation process before the aircraft could be released for sale.
The Five 777s Will Get A New Life As Freighters
Now, the obvious question is: what happens next to these aircraft? All five 777s are getting a new life, but not in the passenger segment. Challenge Group is converting all five aircraft into freighters as part of its fleet expansion strategy. The conversions are being carried out under Israel Aerospace Industries’ (IAI) 777-300ERSF (Extended Range Special Freighter) program.
Challenge Group is a major international air cargo group pursuing a long-term fleet modernization and global expansion strategy. The company launched its 777-300ERSF program in 2025 and plans to add ten 777-300ERSFs to its fleet by the end of the decade.
The five former Jet Airways aircraft are among those planned additions. Michael Koish, Chief Investment Officer of Challenge Group, confirmed to The STAT Trade Times that the aircraft would be converted into freighters using conversion slots the company had secured with IAI for 2025 and 2026.
Returning The Seven-Year-Grounded 777s To Service Will Be Expensive
But getting these aircraft ready for their next life won’t be as simple as flying them to Israel and starting the conversion. All five 777s have been sitting on the tarmac in Mumbai and Delhi for around seven years, without the maintenance normally carried out on aircraft in active service. As a result, they are not currently airworthy and cannot simply be flown out of India. They first need to be restored to an airworthy condition and then ferried to IAI’s conversion facility in Tel Aviv. Before that, India’s Directorate General of Civil Aviation (DGCA) must also deregister the aircraft.
An aircraft grounded for this long needs a lot of work before it can fly again. The operator or owner must obtain a Return-to-Service (RTS) package from the Original Equipment Manufacturers (OEMs), which sets out the required inspections, component replacements, and overhauls. This can cover everything from the airframe and engines to the auxiliary power unit (APU), avionics, and software. The necessary technical information and inspection results must then be submitted to the DGCA for approval.
That work alone can be expensive. According to The STAT Trade Times, an RTS inspection can cost between $500,000 and $2 million per aircraft. Engine maintenance can cost another $10 million to $15 million per engine, depending on the engines’ condition and operating hours. Additional modifications can also cost around $2 million to $5 million per aircraft. Overall, around $10 to 15 million per aircraft could be needed just to get the former Jet Airways 777s into a condition where they can be flown out of India.
And that is only the first part of the bill. Once the aircraft reach IAI, they will need to be converted from passenger aircraft into 777-300ERSF freighters. That work includes structural modifications, installing a cargo door, reinforcing the aircraft floor, upgrading avionics, and completing the necessary certification work. So, the conversion could add another $35 million to $40 million per aircraft. The purchase price must also be included.
Ace Aviation has spent roughly $107.4 million to acquire all five, or about $21.5 million per aircraft on average. Add around $10 million for the return-to-service work and another $35 million to $40 million for the freighter conversion, and the total investment could reach roughly $66.5 million to $71.5 million per aircraft.
Jet Airways Still Has Six Widebody & Narrowbody Aircraft To Sell
Notably, the first of the three Mumbai-based 777s has already started the next stage of its journey. Earlier in August, VT-JEM departed Mumbai for Tel Aviv, where it will undergo conversion into a dedicated freighter. The aircraft has since been re-registered as 2-TJEM on Guernsey’s aircraft register. The other four 777s are expected to follow.
Furthermore, the 777s are not the only former Jet Airways aircraft still being dealt with in the liquidation. As of July 2026, three Boeing 737s and three Airbus A330s remained in the liquidation portfolio. The 737s were parked in Mumbai, Hyderabad, and Delhi and were put up for auction in late July. Two 737-800s were offered with reserve prices of about $8.5 million (₹70.64 crore) each.
A 737-900 had a much lower reserve price of just about $590,000 (₹4.93 crore), according to The New Indian Express. The -900’s lower value was linked to the fact that it was missing its right engine and auxiliary power unit. The three A330s are also expected to be auctioned, with the sale scheduled for September 2026.
The $12.5 Million 777 Comes With A Much Larger Final Bill
Overall, the sale of these 777-300ERs is another chapter in the story of the now-defunct Jet Airways. The aircraft were once part of its long-haul fleet and were deployed on routes to London, North America, and Europe. Seven years later, one of them has already left India, but its journey back into service is only beginning.
So, why did a flyable Boeing 777-300ER sell for just $12.5 million? The answer is that the aircraft was not actually ready to fly when it was sold. The aircraft had spent years on the ground and required significant work before it could leave India. The $12.5 million purchase price was therefore only the starting point.
The return-to-service work, ferry preparation, and freighter conversion will add tens of millions of dollars to the cost. Once those expenses are accounted for, the economics look very different. Ace Aviation could ultimately have around $70 million invested in each of the five former Jet Airways 777s before they enter commercial cargo service.
