New Delhi: The board of directors of Jet Airways (India) has approved a proposal to allot 24 per cent stake to Etihad Airways PJSC of Abu Dhabi for Rs. 2,058 crore ($379 million).
At a meeting held in Mumbai on Wednesday, the board cleared a proposal for preferential allotment of 2.72 crore equity shares to Etihad at a price of Rs. 754.73 per share (including a premium of Rs. 744.73) of the face value of Rs 10.
The board’s decision was also conveyed to stock exchanges.
The allotment price is at a premium of 32 per cent from Jet Airways’ closing price of Rs. 573.85 on Tuesday .The deal is subject to compliance with applicable laws and regulations, and also shareholders’ approval.
This will be the first time that a foreign airline will be picking up a stake in an Indian airline.
24/04/13 The Hindu
