Monday, October 29, 2018

Jet Airways' Naresh Goyal knocks on Mukesh Ambani's door

The Naresh Goyal-owned Jet Airways is hunting for a new investor. The cash-strapped airline which is struggling to raise working capital has reportedly knocked on the door of India's richest man, Mukesh Ambani.

According to a report in Livemint, Naresh Goyal has approached Mukesh Ambani in his personal capacity but Reliance Industries' chairman is yet to take a call on Goyal's offer.

This comes close on the heels of reports saying that salt-to-software conglomerate Tata Group may be buying a large stake in the loss-making Jet Airways. Tata Group's chairman emeritus Ratan Tata has been bullish on aviation sector for a long term, and the buying of stake in Jet would place the group in the top league within the sector.

Goyal, the founder chairman of Jet Airways who holds controlling stake of 51 per cent, is also said to be in talks with international airlines for potential fundraising. In 2013, Jet Airways sold 24 per cent equity to Etihad Airways for $379 million after the government allowed foreign airlines to take up to 49 per cent stake in Indian carriers.
The report added that Tata Group was interested in buying a stake in Jet Airways but this was contingent on Goyal relinquishing operational control.
29/10/18 Business Today

0 Comments: