Etihad extended the regulatory clearance deadline of its USD600 million deal with Jet Airways. This has been the second time Etihad extended its regulatory deadline as the first deadline was to end on August 31 . The UAE airline flag carrier extended the deadline to obtain clearance from Indian regulators until end of September.
In an emailed statement to Reuters, Etihad stated, "The revised agreements are expected to be endorsed by the Competition Commission of India and the Indian Government imminently." Indian authorities have yet to confirm when the deal will be sent to a cabinet panel for final approval.
Etihad's intention to purchase a 24% stake in Jet had been delayed by regulators. Some politicians were concerned that an April bilateral accord on air services between India and the United Arab Emirates was hurting Indian airlines' interests, and had cited this as one of the main reasons for the delay.
Should the deal be successful, the stake purchase would be the first by an overseas operator in an Indian airline since ownership rules were relaxed. It would also provide India's largest carrier with a global partner with deep pockets to help pay corporate debt.
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