Jet eyes $400 mn via private equity

Mumbai: Private airline Jet Airways is talking to several leading private equity firms to raise $400 million (over Rs 1,760 crore) through qualified institutional placements for its aircraft acquisition plan.
The qualified institutional placements are aimed at improving the airline's balance sheet besides raising 15 per cent of the cost of its $2.5 billion bill for 20 wide-bodied aircraft for international operations and 10 Boeing 737s for domestic operations. The rest of the bill will be funded by debt.
The qualified institutional placement could result in a dilution of the promoters? equity by 10 per cent. The promoters currently hold 80 per cent in the airline.
Sources said the airline was also considering a follow-on issue or a combination of QIP investments and equity expansion.
22/01/07 P R Sanjai/Business Standard

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