Jet Airways stake sale: Etihad top-brass, Naresh Goyal meet Ajit Singh
Reports have said that Etihad may buy 24 per cent equity in Jet Airways valued at about Rs 1,800 crore.
On issues relating to security and regulation, Singh said, "Once they sign the agreement, they will go through the regulatory requirements.
"Unless the deal is signed and approved, we can't say the deal is done. But I don't see any problems," he said in reply to a spate of questions.
The Minister said FDI policy was liberalised to promote the entire aviation sector in the country by attracting foreign management and technical expertise and their reach.
Speculation was rife that the deal would be announced tomorrow after a board meeting of Jet Airways. If the deal is carried through, it would be the first investment by a foreign carrier in an Indian airline.
Jet sources said they would seek regulatory approvals only after the deal with Etihad was firmed up. "An appropriate announcement would be made upon finalisation of the terms of the investment with Etihad as per legal and regulatory requirements," they said.
An Etihad spokesperson had earlier said that investments in foreign airlines "will be made where Etihad Airways believes the commercial prospects are strong, where there are like-minded business philosophies, and where such commitment will be welcomed. If or when we do make further investments of this sort, we will announce them in line with regulatory and commercial requirements."
Etihad has in the past two years picked up stake in several international carriers like Virgin Australia, airberlin, Air Seychelles and Aer Lingus.
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