Jet Airways completes Rs.2,069-crore stake sale deal to Etihad

Jet Airways Wednesday said it has completed 24 percent stake sale to Abu Dhabi-based carrier Etihad Airways for Rs.2,069 crore.

Jet Airways said in a statement that "both airlines closed the transaction for the subscription of a 24 percent equity stake by Etihad Airways in Jet Airways".

"All requisite Indian regulatory approvals had been obtained by Nov 12, 2013. Jet Airways has, on Nov 20, 2013, issued and allotted 27,263,372 equity shares of a face value of Rs.10 each at a price of Rs.754.7361607 per equity share on a preferential basis to Etihad Airways," the statement said.

"The infusion of foreign direct investment in the aviation sector will result in economies of scale, grow traffic at our airports, and create job opportunities," said Naresh Goyal, chairman of Jet Airways.

"I am confident that this investment will greatly benefit all our stakeholders whilst significantly benefiting our customers who will now have access to a more expanded global network," Goyal said.

Goyal also stressed that together with Etihad Airways, Jet Airways would enhance connectivity for tourists, business travellers, Indian families and the wider travelling public.

James Hogan, president and chief executive officer of Etihad Airways said: "India is one of the largest and fastest-growing markets in the world and a key part of the Etihad Airways growth strategy."

"Through this association, Etihad Airways and Jet Airways will both be strengthened, as will the economies of India and the UAE. By linking our two networks and adding new flights, new routes and more code-share options, travel to, from and within India will become much easier," Hogan said in statement.