Jet Airways hits 52-week high on Etihad deal reports

NEW DELHI: Jet Airways Ltd surged over 11 per cent in early trade to hit its 52-week high of Rs 598.80 on Monday on reports of a possible deal between Naresh Goyal's airline and Middle-Eastern carrier Etihad Airways.

At 09:40 am, Jet Airways Ltd was trading 11.4 per cent higher at Rs 562.80. It has hit a 52-week high of Rs 598.80 in trade today.

ET had reported of a possible deal between Jet and Etihad on September 19.

"The due diligence process was underway and there is lot of activity on that front. But when a final deal will be struck cannot be said," ET reported quoting a source familiar with the development who did not want to be identified.

Reports have also said that Etihad has valued Jet Airways at $1.7 billion (Rs 9,438 crore). Jet's total market value is Rs 4,366 crore.

A top source from the civil aviation ministry too confirmed a deal between Jet and Etihad. "We are aware that the deal is progressing but to close a deal might take some time, may be a couple of months or so. Both the sides have appointed consultants as Etihad wants to make sure that they have a sound investment in the country as cost issues remain a concern about airline companies in India," he said.

Etihad's public relations office in Mumbai said the airline has not offered any comment so far on the deal. Jet Airways, in a late night response to ET's query on Friday, said, "We do not have adequate information at this stage to comment on this issue."