Saturday, November 25, 2006

Buy us for Rs 3K cr or pay Rs 1,931 cr: Sahara to Jet

London: Air Sahara, questioning Jet Airways’ failure to acquire it, has filed a claim of Rs 3,020 crore before an arbitration tribunal here and sought honouring of the share purchase agreement (SPA) reached by the two parties in January.
In its prayer before the arbitration tribunal headed by British judge Lord Stein on November 20, Air Sahara sought Rs 3,020 crore from Jet toward execution of the SPA along with recovery of inter-line business revenue that the latter accrued for nearly three months.
As part of its prayer, Sahara sought a direction from the tribunal that Naresh Goyal-promoted Jet should execute the SPA and close the transaction as per directions of the tribunal.
Alternatively, Sahara claimed if “Jet Airways is unwilling to buy Air Sahara, then Jet is liable to pay over Rs 1,931 crore as damage, compensation, inter-line revenue etc.”
Jet on the other hand, filed its claim a day after the deadline set by the tribunal, seeking refund of Rs 500 crore paid by it as advance to Air Sahara along with interest. Officials of Jet in Mumbai and Sahara in Lucknow declined to comment.
25/11/06 The Financial Express