Jet mulls rights issue to raise $400 mn

Brussels: India's Jet Airways is considering a rights issue to raise $400 million it has said it needs in the next few months for international expansion, a board member said on Wednesday.
India's top private-sector airline is set to launch five new services from India to North America via Brussels by the middle of 2008. It announced it needed the money last month, in the wake of an agreement to buy its smaller rival Air Sahara.
"We are exploring a rights issue," said Vic Dungca, a company director. Jet executives were in Brussels to launch the airline's use of Brussels Airport from August.
Jet Airways has about 86 million shares in circulation at present and the new finance plan would involve it issuing a further 20 to 25 million, Dungca said.
Dungca said that private equity groups had also expressed interest in investing in the company, but he expressed reservations about any such deal.
03/05/07 Times of India

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Categories: Foreign May 2007, Jet Airways May 2007