Mumbai: The first year of the alliance between Jet Airways and Abu Dhabi-based Etihad Airways saw an expansion of flights between the two countries but top-level exits at the Indian carrier impacted the synergy.
On April 24, 2013, the two signed a deal for equity infusion by Etihad in Jet, loan guarantees, purchase of Jet's slots at London’s Heathrow airport, investing in Jet’s frequent flyer programme and cooperation in commercial, engineering and operational areas.
The Rs 2,057-crore investment for a 24 per cent stake in Jet concluded last November and the Rs 900-crore investment in Jet's frequent flyer programme was completed last month. The deal was concluded after the two parties diluted the agreements to meet regulatory concerns but trouble is far from over. The Securities and Exchange Board of India is examining if there was a violation of the takeover code by Etihad.
Etihad's chief executive officer (CEO), James Hogan, and chief financial officer (CFO) James Rigney have joined the Jet board. Appointment of independent board members has not been completed, with both sides yet to select members, an airline source said.
21/04/14 Aneesh Phadnis/Business Standard
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On April 24, 2013, the two signed a deal for equity infusion by Etihad in Jet, loan guarantees, purchase of Jet's slots at London’s Heathrow airport, investing in Jet’s frequent flyer programme and cooperation in commercial, engineering and operational areas.
The Rs 2,057-crore investment for a 24 per cent stake in Jet concluded last November and the Rs 900-crore investment in Jet's frequent flyer programme was completed last month. The deal was concluded after the two parties diluted the agreements to meet regulatory concerns but trouble is far from over. The Securities and Exchange Board of India is examining if there was a violation of the takeover code by Etihad.
Etihad's chief executive officer (CEO), James Hogan, and chief financial officer (CFO) James Rigney have joined the Jet board. Appointment of independent board members has not been completed, with both sides yet to select members, an airline source said.
21/04/14 Aneesh Phadnis/Business Standard
