New Delhi: The Rs 2,058-crore Jet-Etihad deal could get green signal from the Cabinet Committee on Economic Affairs in a fortnight but the final contours of the transaction will still be decided by the Securities and Exchange Board of India (Sebi).
Jet Airways offered 24% stake to Abu Dhabi-based Etihad Airways after the government had allowed foreign airlines to own up to 49% stake in Indian carriers. "The company has submitted to the FIPB (Foreign Investment Promotion Board) that it would make the requisite changes to the deal as suggested by the board...It is being processed now," said a finance ministry official.
Striking a note of caution while recommending the proposal to the Cabinet Committee on Economic Affairs (CCEA), the FIPB has said that the final nod will be subject to market regulator clearing the transaction under the takeover code. The FIPB was of the view that only Sebi was competent to decide on whether the investor (Etihad) and the promoter were deemed to be persons acting in concert and, therefore, any approval should be subject to Sebi's Substantial Acquisition of Shares and Takeovers guidelines.
Read News In Full 18/09/13 Deepshikha Sikarwar/Economic Times
No comments:
Post a Comment