Jet Airways board approves issue of shares to Etihad

Last Updated: Wed, Apr 24, 2013 07:23 hrs
A newly acquired Jet Airways Boeing 777-300ER aircraft sits on the tarmac at Mumbai airport

Jet Airways said on Wednesday its board has approved the allotment of 27.3 million shares at 754.74 rupees each to Abu Dhabi-based Etihad Airways on a preferential basis, in a deal worth 20.6 billion rupees.

The number of Jet shares to be alloted to Etihad represents nearly 32 percent of the Indian carrier's share capital.

The deal, subject to regulators and shareholders approval, would be the first since India relaxed ownership rules in September and allowed foreign carriers to buy up to 49 percent in local carriers, which are battling stiff competition and high operating costs.

An Etihad official did not have imemdiate comment.

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