Aug 07, 2013, 08.35 PM IST
Etihad Airways, which is seeking regulatory approval for its planned Rs 2,058 crore stake in India's Jet Airways, today said that it is awaiting a final approval from the Indian authorities for the deal which could enhance its global reach.
Speaking at the 2013 CAPA Australia Pacific Aviation Summit held in Sydney, Abu Dhabi-based Etihad Airline's President and CEO James Hogan said, "We are delighted to welcome Air Serbia to our equity alliance, and look forward to receiving final approvals from regulators in India of our investment in Jet Airways," he added.
The Abu Dhabi-based airline last week bought 49 percent stake in Serbia's national airline Air Serbia and a five-year management contract to run it.
"Including Jet Airways, where we're still going through the regulatory process, Etihad Airways will have six equity and 46 codeshare partners, offering a pool of over 96 million guests and a choice of more than 410 destinations on six continents, serviced by a fleet of approximately 500 modern aircraft," said Hogan.
The Etihad-Jet deal is awaiting nod from the Foreign Investment Promotion Board (FIPB) after which it needs approval of the Indian Cabinet.
"Etihad Airways has applied for investment to a stake of 24 percent in the equity of Jet Airways. The investment is within the ambit of FDI policy on aviation sector," Minister of State for Civil Aviation KC Venugopal said yesterday.
Jet Airways stock price
On December 13, 2013, Jet Airways closed at Rs 272.75, down Rs 20.65, or 7.04 percent. The 52-week high of the share was Rs 688.60 and the 52-week low was Rs 270.20.
The latest book value of the company is Rs -27.75 per share. At current value, the price-to-book value of the company was -9.83.
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