Sources said Abu Dhabi-based Etihad would pick up 24 per cent stake.
Amid controversy over the Jet Airways-Etihad deal, the Prime Minister's Office on Tuesday said the stake sale matter was still under examination and the issues raised have been referred to various concerned ministries.
Manmohan Singh clarifies his office's involvement in the deal that's facing criticism from the opposition and the media.
India, UAE yet to conclude bilateral investment promotion and protection agreement.
Extending its previous day's rally, shares of the company opened on a strong note and further gained 8.78 per cent to Rs 581.85 on the BSE.
The Home Ministry has conveyed to the Department of Economic Affairs (DEA) that it has not given security clearance to the Abu Dhabi-based Etihad Airways' proposal to buy a 24 per cent stake in Jet Airways.
While the interest from Hinduja is a positive sign for the grounded airline, executives of banks cautioned that there is no certainty that the deal will fructify. The cost of recapitalising Jet Airways is increasing every day.
The Foreign Investment Promotion Board (FIPB) on Friday deferred a decision on Rs 2,000-crore (Rs 20 billion) Jet-Etihad deal, the largest foreign investment in the Indian aviation sector, and sought clarity on control and ownership.
Etihad earns about 23 per cent of its passenger revenue from code-share and equity partners, and this would increase after its tie-up with Jet.
To make sure liquid schemes reflect the underlying portfolio risks, Sebi has said all debt papers with maturity of 30 days or more to be marked to market. Earlier, fund houses didn't have to do so for securities that had less than 60-day maturity.
United, American snap code share deals, in compliance with US regulator's ruling
In the previous decade, the government, with Praful Patel as the civil aviation minister, saw the introduction of an irrational 5/20 policy.
The UPA Government is trying to push through the second wave of airport privatisation before the elections and the controversial elements of this process threaten to harm the sector.
© 2026 Rediff.com - Investor Information - Advertise with us - Disclaimer - Privacy Policy - Sitemap - Feedback - About us - Terms of use - Grievances