GoAir gets private equity suitors

Low-cost carrier GoAir has come out saying that it has received interest from private-equity players who want to take a minority stake in the airline.
A GoAir spokesperson said: “Ernst & Young has approached us on behalf of various buyers who are interested in a minority stake in GoAir.”
The company, however, refused to name the interested parties.
Sources have indicated to DNA Money that the investors value the airline at an enterprise value of $400 million. In a rough calculation, this would make the valuation in ratio with that of Jet Airways, which has around five times the market share and nearly five times the valuation. The airline promoted by the Wadias started operations in 2005 and currently has a market share of 4.2%, up from 2.8% a year ago.
17/01/08 Nirmal John/Daily News & Analysis

To Read the News in full at Source, Click the Headline

Categories: GoAir Jan 2008, New Jan 2008