New Delhi: Beleaguered Jet Airways — part-owned by Etihad Airways — has finalised US-based investment bank Moelis & Co to manage the stake sale in the loyalty rewards programme that the private carrier co-owns with Etihad, reported the Economic Times citing two people aware of the matter. The report further mentioned that the Naresh Goyal-promoted airline is in advanced negotiations with private equity firms TPG Capital and Blackstone for the sale and will select on one of them soon.It is worth noting that Etihad owns 50.1 per cent of the loyalty programme, while Jet Airways owns the rest. This will be the first step the financially-troubled carrier is taking to shore up its finances. Cramer Ball, Jet Airways' former chief executive and now leading its other airline investment Alitalia, has been assigned a significant role as has been Robin Kamark, who holds the top position at Eithad’s strategic airline investments, the report said.
Industry watchers are of the view that Jet Airways urgently needs funds as elevated crude oil prices and tough competition in the Indian market eroded its cash amid losses. In the current scenario, the loyalty programme stake sale is vital to the fundraising move to stay afloat.
05/08/18 ETNow News
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Industry watchers are of the view that Jet Airways urgently needs funds as elevated crude oil prices and tough competition in the Indian market eroded its cash amid losses. In the current scenario, the loyalty programme stake sale is vital to the fundraising move to stay afloat.
05/08/18 ETNow News
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