Jet, Etihad revise stake sale deal: Ajit Singh

New Delhi, Aug 8 (IANS) Civil Aviation Minister Ajit Singh Thursday said the agreement between Jet Airways and Abu Dhabi-based Etihad Airways for a proposed 24 percent stake sale in the Indian passenger carrier has been changed and that it will be considered by the competent authority.

Earlier, the Foreign Investment Promotion Board (FIPB), stock market regulator Securities and Exchange Board of India (SEBI) and fair trade watchdog Competition Commission of India (CCI) had raised concerns about the control and management of the company after the stake sale.

However, the FIPB gave a conditional nod to the proposed 24 percent stake-sale in Jet to Etihad Airways on July 29, 2013 and this will now be taken up by the cabinet for final approval.

The conditional approval by FIPB came after the Jet Airways submitted an amended shareholding agreement to the finance and civil aviation ministries. This agreement is said to have addressed the control and management issues, with Etihad agreeing to have only two places on the board of directors from earlier proposed four in the 10-member airline board.

"Addressing the concerns, the applicant companies have revised their agreement. Comments of SEBI have also been received by FIPB . The proposal was considered by the FIPB at a meeting held on July 29 and the same is currently being prepared for submission to the competent authority," Ajit Singh informed Lok Sabha in a written reply.

Apart from government agencies like SEBI and CCI, some parliamentarians and political parties, including the opposition Bharatiya Janata Party (BJP), had voiced opposition to the deal and sought an explanation from Prime Minister Manmohan Singh.

There are also allegations that the government had given concession to the deal by exponentially increasing flying rights between Abu Dhabi and India through the new bilateral air service agreement (BASA).

Earlier, the Prime Minister's Office (PMO) said concerned departments and agencies would look into the proposal and would deal with it as per usual practice.

Jet Airways is currently looking forward to attract foreign investments from Abu Dhabi-based airline through a stake sale deal.

The deal is expected to garner around Rs.2,058 crore ($379 million) for Jet Airways, which will enable the company to service its debts and provide passengers better connectivity.

Matches

MORE TOP STORIES TODAY

Cleaning up the game starts with fans

Cleaning up the game starts with fans

... because, as recent events reveal, the BCCI has little intention of doing it. More »

Rajasthan square up to Chennai batting arsenal

Rajasthan square up to Chennai batting arsenal

Chennai have possibly the strongest top six in the current IPL, but Rajasthan have been buoyed by the return to form of their captain Shane Watson. More »

Hope to be fit for next game - Kevin Pietersen

Hope to be fit for next game - Kevin Pietersen

With two heavy defeats at the hands of Bangalore and Chennai, Daredevils currently languish near the bottom of the table. More »

Chandimal axed as T20 captain, Malinga takes over

Chandimal axed as T20 captain, Malinga takes over

Sri Lanka's cricket selectors on Wednesday sacked Dinesh Chandimal as Twenty20 captain and replaced him with Lasith Malinga, while Angelo Mathews was… More »

'A blow to BCCI, could hurt autonomous status'

'A blow to BCCI, could hurt autonomous status'

The Supreme Court prefers that the Justice Mudgal panel further investigate the IPL corruption scandal. More »

Have the ECB played an unfair game?

Have the ECB played an unfair game?

Money talks, but it is in light of this ICC shakeup that the ECB's act of soliciting of another team's coach deteriorates from free-market aggression to… More »

Perfect Punjab trounce Hyderabad

Perfect Punjab trounce Hyderabad

IPL7, GAME 9—Maxwell (95, 43b), Balaji (4-13) set up 72-run win. More »

Mudgal panel drops bombshell in court

Mudgal panel drops bombshell in court

The Mukul Mudgal probe committee dropped a bombshell in the Supreme Court on Tuesday by making a sensational claim that it was forced to stop audio recording… More »

Farbrace quits for England post

Farbrace quits for England post

He will assist Peter Moores who was unveiled as the new England coach on Saturday. More »

Moin appointed to manage Pakistan team

Moin appointed to manage Pakistan team

Pakistan on Monday reappointed Moin Khan as chief selector and manager of the national team, a week after fellow former captain Rashid Latif turned down… More »

Chennai smash Delhi for first win

Chennai smash Delhi for first win

IPL7, MATCH 8—Raina-led middle order, superlative catching give CSK a 93-run win. More »

SC asks Mudgal committee to continue

SC asks Mudgal committee to continue

Mukul Mudgal has communicated to the court his willingness to take up the investigation and has been asked to specify the terms and modalities on April… More »

'BCCI reputation lowest in 80 years'

'BCCI reputation lowest in 80 years'

The former BCCI president says he was "disillusioned" by the happenings at the emergent working committee meeting on Sunday. More »

Injured Bravo to miss rest of IPL

Injured Bravo to miss rest of IPL

Dwayne Bravo is set to be sidelined for at least four weeks due to a shoulder problem. Bravo sustained the injury when attempting a catch on the boundary… More »

NZC contemplates domestic revamp

NZC contemplates domestic revamp

New Zealand Cricket has put forward a proposal to reinvent its domestic structure and allow up to 49% private investment into the six major associatio… More »

Punjab pull off another big chase

Punjab pull off another big chase

GAME 7, SHARJAH—Maxwell, Miller, Pujara chase down Rajasthan's 192. More »

T20 test for Cheteshwar Pujara

T20 test for Cheteshwar Pujara

The class act from Saurashtra may have to rethink his approach to the mannerless format. More »

Special meeting to replace Srinivasan

Special meeting to replace Srinivasan

The BCCI is likely to convene a special general body meeting (SGM) in May to replace N Srinivasan on the board's disciplinary committee. More »

Roach escapes injury after car crash

Roach escapes injury after car crash

The West Indies fast bowler lost control of his BMW sedan due to slippery road conditions in his native Barbados on Saturday. More »

Shastri in proposed IPL probe panel

Shastri in proposed IPL probe panel

Some members stressed on the need for proposing names with an "impeccable record and clean image". More »

Day of Supreme reckoning

Day of Supreme reckoning

Apex court to decide on BCCI’s proposed new committee today. More »

Panel can help clean mess: Raghavan

Panel can help clean mess: Raghavan

The former CBI Director is one of the three candidates proposed by the BCCI to head the enquiry into the IPL betting and spot-fixing scandal. More »

Repose faith in Indian coaches

Repose faith in Indian coaches

All of them cost plenty of dollars which I feel is unnecessary for a two- month tournament, says former cricketer Yajurvindra Singh. More »

Cook relieved after period in limbo

Cook relieved after period in limbo

The England captain is looking forward to a fresh start after a dispiriting Ashes defeat last year. More »