Jet to sell 24% stake to Etihad for Rs 2058 cr - The Hindu

The Hindu The share issue to Etihad is being done at a substantial premium to Jet's last trading price of Rs 573.85 on the BSE. File photo Jet Airways will sell a 24 per cent stake to Abu Dhabi-based carrier Etihad Airways for about Rs 2,058 crore. Jet will sell 27.26 million shares in a preferential offer to Etihad at Rs 754.74 apiece, the company said in a filing to the stock exchanges. The sale price is 31.7 per cent higher than Jet's last traded price of Rs 573.85 on the BSE. The deal is subject to shareholders' nod and conditions precedent including regulatory approvals. Jet said its board of directors at a meeting today approved preferential allotment of "27,263,372 equity shares of the face value of Rs 10 to Etihad Airways PJSC at a price of not less than Rs 754.7361607 (including premium of Rs 744.7361607 per share) per equity share". "The Board of Directors has granted approval for the company (Jet Airways) and Etihad PJSC to enter into inter alia, the Investment Agreement in relation to such issuance and allotment and other documents incidental thereto," it said. The company did not provide details of the deal. Etihad, which had in February bought Jet's three pairs of slots at Heathrow airport for USD 70 million, may also give a five-year loan of USD 400 million to the Indian carrier to help repay part of its USD 2.3 billion debt. RELATED NEWS Talks with Etihad on for stake sale, says Jet More In: Industry | Business via Business - Google News http://news.google.com/news/url?sa=t&fd=R&usg=AFQjCNGapj5PNEoO3FHZOySi6Fzm9eTRiw&url=http://www.thehindu.com/business/Industry/jet-to-sell-24-stake-to-etihad-for-rs-2058-cr/article4650169.ece

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