Jet plunges 12% as Tatas say no formal proposal yet

NEW DEHI: Shares of Jet Airways took a beating in Monday’s trade after Tata Sons said while it is in preliminary discussions with Jet Airways, it is yet to make any formal proposal. Meanwhile, there were also reports that the airline had to cancel 10 domestic flights from Mumbai on Sunday due to operational reasons.

Following the development, the stock fell 12.57 per cent to hit a low of Rs 303.25 on BSE.

“If Tata Group acquires Jet Airways it will be a positive move for the sector,” Adrian Mowat, EM - Equity Strategist told ET Now.


Talks are being led by Chandrasekaran and the Tata mergers and acquisitions team with inputs from chairman emeritus Ratan Tata, said people with knowledge of the matter told ET.

ET first reported on November 15 that the Tata group was in talks with Jet for an allstock merger with its joint venture with Singapore Airlines. ET reported Friday that the group may seek to end its partnership with AirAsia to focus on Vistara.

“Over the last few days there has been growing speculation in the print and electronic media about Tata’s interest in Jet Airways,” the Tata group holding company said in a release on Friday, going public with the news for the first time. “We would like to clarify that any such discussions have been preliminary and no proposal has been made.”