New Delhi: Abu Dhabi-based Etihad Airways has agreed to reduce the number of directors on the board of Jet Airways. The move is primarily aimed at addressing concerns of the government over the effective control of Jet Airways after the Jet-Etihad deal.
The issue has been holding up the Rs 2,058 crore deal, which had come up before the Foreign Investment Promotion Board (FIPB) on June 14, but was deferred.
Sources with knowledge of the details told The Indian Express that the amended shareholders agreement submitted by the two airlines to the finance ministry says that Etihad would now have only two directors on the 14-member board of Jet Airways, leaving effective control with the Indian promoters.
In addition, the board will comprise seven independent directors. As per the original agreement, Etihad was to nominate three directors and Jet four directors to the board.
27/07/13 Indian Express
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The issue has been holding up the Rs 2,058 crore deal, which had come up before the Foreign Investment Promotion Board (FIPB) on June 14, but was deferred.
Sources with knowledge of the details told The Indian Express that the amended shareholders agreement submitted by the two airlines to the finance ministry says that Etihad would now have only two directors on the 14-member board of Jet Airways, leaving effective control with the Indian promoters.
In addition, the board will comprise seven independent directors. As per the original agreement, Etihad was to nominate three directors and Jet four directors to the board.
27/07/13 Indian Express
