Jet Airways' $400 m rights by mid-Oct

Mumbai: The proposed $400 million rights issue of Naresh Goyal-promoted private airline Jet Airways will hit the capital market by mid-October.
Jet Airways, which recently acquired Air Sahara (now JetLite) for Rs 1,450 crore, is currently in the process of filing a prospectus with market regulator Securities and Exchange Board of India (Sebi).
"We will be filing a prospectus with the Sebi by mid-August. The Sebi normally takes six weeks to clear a rights issue. In that case, we can make the rights issue offer by mid-October," Jet Airways Executive Director Saroj K Datta told Business Standard.
Jet Airways has appointed HSBC and SSKI as merchant bankers to the rights issue, which will be used for acquisition of aircraft.
"This money will be used for making a pre-delivery payment (PDP) for $2.5 billion aircraft acquisition plan. According to the PDP commitment, Jet will have to pay 15 per cent of the total $2.5 billion to aircraft manufacturers," said Jet executives.
Jet Airways is acquiring 25 wide-bodied aircraft to fuel its international operations.
06/08/07 P R Sanjai/Business Standard

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Categories: Jet Airways Aug 2007