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Last Updated : Aug 12, 2019 03:19 PM IST | Source: Moneycontrol.com

'Unresolved issues' behind no show in Jet, says Etihad Airways

The airline continues to own three lots of Jet in Heathrow Airport, and also a substantial share in Jet Privilege.

 
 
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Etihad Airways, the national airline of the United Arab Emirates, said it has not shown any interest in Jet Airways "because of unresolved issues concerning Jet's liabilities".

The deadline to submit expression of interest got over on August 10 and three suitors have emerged 

Moneycontrol had written about the possible scenario of Eithad not submitting an interest.

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"Etihad acquired a 24 per cent stake in Jet in 2013, at a time when Jet needed significant financial support. Since then, Etihad has consistently and constructively sought and advanced solutions to help resolve Jet’s issues. But as a minority shareholder, Etihad has had limited capacity to secure required changes," said Eithad in a statement.

Before Jet Airways was taken to insolvency courts, Eithad and Hinduja were the only interested players in a bidding process overseen by SBI Caps.

"Etihad remained engaged in the process, but despite the endeavours of everyone involved there remained very significant issues relating to Jet’s previous liabilities.

"Regrettably, in these circumstances, it was neither feasible for nor responsible of Etihad to reinvest in Jet at this time," said the airline.

The airline though reiterated its interest in the Indian market. It said:

"This decision is unrelated to and does not affect Etihad's continued commitment to India, the airline's largest single market, and one which it has served for 15 years.

"Etihad flies between Abu Dhabi and 10 destinations in India, and is continually increasing the frequency of its flights, the size of its aircraft, the quality of its product and the international route connections it offers beyond its hub in Abu Dhabi."

The airline continues to own three lots of Jet in Heathrow Airport, and also a substantial share in Jet Privilege.

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First Published on Aug 12, 2019 03:17 pm
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