Jet Airway’s promoters will be reportedly diluting their 6-8% stake in the carrier by Offer for Sale (OFS) route in May. Jet Airways' chairman Naresh Goyal needs to bring down promoter holdings to 75% as per SEBI guidelines. Goyal holds close to 80% in Jet through Tail Winds.
Meanwhile, around four investment bankers are currently working on the OFS issue which is likely to hit the market in May. The pricing of the same could be at a premium to the current price and is roughly valued at around Rs 260 crore. Jet Airways’ shares closing price on April 15, stood at Rs 500.55 on Bombay Stock Exchange (BSE).
Jet Airways’ stake sale to Etihad Airways could be deferred at least till August, as the Abu Dhabi carrier seeks assurances following setbacks for several Gulf investors in India. Etihad is looking to sign a Bilateral Investment Protection Agreement (BIPA), keeping in mind, how some UAE entities, like Etisalat and Emaar, were treated in India. Etisalat was forced to shut shop in India after the 2G scam led the Supreme Court to revoke licenses of cellular firms in February 2012 citing problems in the spectrum sale process of 2008.