Struggling Jet Airways, SpiceJet line up foreign investment

Jet Airways India Ltd and SpiceJet Ltd, battling hot competition and high operating costs, are in talks to sell minority stakes to foreign investors, said a senior Indian government official with knowledge of the discussions.

Abu Dhabi's Etihad Airways and Malaysia's AirAsia Bhd have stepped up after India changed its rules in September to allow foreign carriers to buy stakes of up to 49 per cent in local airlines.

The Jet-Etihad tie-up would be the bigger of the two deals, with a possible value of up to nearly $440 million, but the government official provided no further details on the stakes involved or costs.


(Reuters)