Jet Airways rallies nearly 8% as Etihad extends deadline by a month

NEW DELHI: Jet Airways Ltd rallied as much as 7.8 per cent in morning trade on Monday, after the Abu Dhabi-based Etihad Airways has extended a deadline for regulatory approval that ended on August 31, until end of September.

At 10:20 a.m.; Jet Airways pared some of the morning gains and was trading 5.1 per cent higher at Rs 306.75. It has hit a low of Rs 299.95 and a high of Rs 314.70 in trade today.

Etihad's plan to buy a 24 per cent stake in Jet had been delayed by regulators and on concerns from some politicians on air services between India and the United Arab Emirates was hurting Indian airlines' interests.

“Etihad Airways expects a $600 million investment in Jet Airways to be cleared by Indian authorities, as it further extended a deadline for regulatory approval that ended on 31 August by a month,” said a Reuters report.

“Etihad confirmed that it agreed to extend a deadline for the deal to win regulatory approvals for a second time until end of September,” added the report. The deadline had been extended by a month in August.