Jet Airways near funding deal with Etihad: CNBC-TV18
05 Dec 2018
Beleaguered Indian carrier Jet Airways Ltd is close to finalising a financing deal with its Gulf partner Etihad Airways under which the latter will inject fresh funds, CNBC-TV18 on Tuesday reported, citing sources.
Jet Airways, which is struggling to cut costs and stay afloat, has delayed salary payments to employees, assured pilots that there will be no delays in salary payments from April 1, according to the channel.
Jet founder and majority shareholder Naresh Goyal has assured the airline’s pilot union that the funding, which will likely result in route restructuring and more flights to Abu Dhabi, could take place as early as mid-December, the channel said.
Cash-strapped Jet Airways is also trying to raise money by selling a stake in the airline and its loyalty programme.
CNBC-TV18 also said that Jet’s talks with conglomerate Tata Group for a rescue deal hit a road block over demands to shut down JetLite, its low-cost airline.
Jet Airways on Tuesday also announced 65 new weekly services spread across its international and domestic routes effective this month. The additional frequencies would strengthen the domestic and international connectivity via its hubs based in Delhi and Mumbai, the airlines stated.
Jet Airways said it had added a daily direct flight from Pune to Singapore, and added a third daily frequency to Singapore from its hubs in Mumbai and Delhi.
On its international network from Delhi, Jet Airways added a third service between Delhi and Bangkok, and a fourth frequency on the Delhi-Kathmandu route. The airline said the move was in its bid to "meet the growing demand from travelers". The carrier also introduced a second frequency to Doha from Delhi and Mumbai.