Jet Airways India Ltd., the carrier that is struggling under a pile of debt, may get some respite. India’s largest lender State Bank of India is set to swap part of its loans into a stake of at least 15 percent in Jet Airways, people with knowledge of the matter said. Other creditors to the carrier also plan similar conversions of some debt into equity to help keep the carrier alive, they said.

India’s bankruptcy court said on Tuesday creditors could reject a $7.5 billion offer from the owners of debt-stricken Essar Steel to settle the company’s debts, giving a boost to global steel giant ArcelorMittal’s bid to takeover the plant, Reuters reported. The settlement proposal presented to the consortium of lenders by the billionaire Ruia family was not “maintainable”, and it would not be illegal for the banks to reject the offer, the National Company Law Tribunal (NCLT) said, according to television news channels.

Bank of India Ltd aims to return to profit in the January-March quarter as it focuses on reducing bad loans, its chief executive said on Monday, after the state-run lender logged its biggest quarterly loss since at least 2005, Reuters reported. A spike in bad loan provisions dragged the bank to a net loss here of 47.38 billion rupees ($666.50 million) in the three months ended Dec. 31. In the same period the year before, it registered a loss of 23.41 billion rupees.

In a related story, Bloomberg News reported that many global funds have pushed for India to resolve its bankruptcy cases faster, but some investors are finding opportunities in the delays. As Indian lenders seek to offload soured debt worth billions of dollars, overseas firms such as Cantor Fitzgerald and SC Lowy see the chance for investors to reap returns from delays in the bankruptcy process.

India’s Supreme Court on Friday rejected petitions challenging the country’s bankruptcy laws, including a rule that bans owners of insolvent firms from bidding to buy back assets auctioned as part of the bankruptcy proceedings, Reuters reported. The ruling upheld fledgling bankruptcy and insolvency rules and is expected to pave the way for banks to recover billions of dollars from bankrupt firms mired in litigation, lawyers said.

First, it was the IL&FS Group that ran out of money. Now that the bankrupt Indian infrastructure lender-operator has been sequestered from creditors, the country’s securitization industry is on borrowed time, a Bloomberg View reported. It all began on Tuesday with S&P Global’s Indian affiliate, Crisil, downgrading Jharkhand Road Projects Implementation Co.’s annuity-backed bonds to D after it skipped interest and principal payments. It’s a strategic default on an instrument rated AA just last week. The borrower had money.

Cash-strapped Jet Airways Ltd has flown straight into a storm, resulting in a major setback for India’s largest full-service airline that could shake up the country’s aviation industry, Reuters reported. Jet, which has debt exceeding 80 billion rupees ($1.12 billion) as of September-end, has been steadily losing market share to its rival and low-cost carrier IndiGo, which is owned by InterGlobe Aviation Ltd. Abu Dhabi-based Etihad Airways, Jet’s second-largest shareholder, is now in talks with creditors for a deal that could help the airline back on its feet.

To have one airline limping forward on the brink of bankruptcy may be regarded as a misfortune. To have two looks like carelessness. That’s the fundamental problem for India’s aviation industry, home to the critically ill Jet Airways India Ltd. and its state-owned rival Air India Ltd., which more or less died in 2012 but has been kept on life support thanks to ongoing infusions of taxpayer cash, a Bloomberg View reported. Facing collapse, Jet has been trying to restructure its debt and seeking bailout money from founder Naresh Goyal and leading shareholder Etihad Airways PJSC.

Infrastructure Leasing & Financial Services Ltd., which sent a shock through Indian financial markets last year when it defaulted on debt, faces a much-awaited coupon payment due Friday on overseas bonds, Bloomberg News reported. The so-called dim sum bonds, or offshore yuan-denominated bonds, are guaranteed by IL&FS Transportation Networks Ltd., a unit of IL&FS which has already defaulted on interest payments due on five rupee-denominated bonds, according to a Dec. 31 filing.

India’s Prime Minister Narendra Modi rode to power five years ago on his business friendly credentials and the promise of generating millions of jobs. Now an airline is on the verge of collapse, bringing Modi’s image under attack just months before national elections, Bloomberg News reported. Struggling in a competitive market where basic air fares can get as low as 2 cents, Jet Airways India Ltd., the country’s second-biggest airline, has piled on $1.1 billion in debt and failed to pay loans and salaries.