Etihad has asked SBI and other lenders of bankrupt Jet Airways to buy its 24% stake for approximately Rs 400 crore or Rs 150/share, ET Now learns exclusively from sources. This is a considerable discount to the current market price, and demonstrates Etihad’s keenness to exit the beleaguered airline. By seeking Rs 150/share for an exit, Etihad is valuing Jet at around Rs 1800 crore.
ET Now is reporting exclusive details of Etihad’s offer to SBI a day after the news channel broke a story of the Gulf based carrier pressing for an exit from Jet.
So how did Etihad arrive at a price of Rs 150/share to exit Jet? Interestingly, this is the same price quoted to it by SBI for infusing Rs 1,400 crore to rescue the bankrupt carrier. Even India’s sovereign wrath fund, the NIIF was going to purchase a 20% stake in Jet at Rs 159/share, sources tell ET Now.
“Etihad has decided to quote that very same price of Rs 150/share back to SBI and caught the lender by surprise. It’s a smart move. Time is of the essence to save the airline and with this Etihad has attempted to not completely write off the airline,” said a person involved in the talks between Etihad and the banks.
