The State Bank of India (SBI)-led consortium of lenders is waiting for India’s capital markets regulator to decide on a bailout offer by Etihad Airways for the financially stressed Jet Airways, SBI chairman Rajnish Kumar said, the Business Standard reported Saturday. Etihad which is a major shareholder in Jet, is seeking an exemption from the Securities and Exchange Board of India (SEBI) on preference pricing and open offer guidelines to increase its stake in the cash-strapped carrier. Etihad, which holds a 24% stake in the airline, has made an offer to invest only at INR150 per share, which is 53% of Jet’s closing price of INR281.35 Friday. “We are nobody to reject anybody’s resolution plan. We are saying that there is a regulation governed by SEBI. What we have to see is that what SEBI says,” Kumar said. <br/>
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Jet Airways appears to be closer to gaining the bailout funding it needs to ensure survival, although some important details still need to be resolved in talks between the major lenders and investors. The carrier has been seeking new capital injection since at least August, and proposals have emerged that would provide the needed cash. Etihad Airways and majority owner Naresh Goyal have separately agreed to invest more, according to local media reports. However, one of the sticking points appears to be what ownership share and future management role founder Goyal will have. The consortium, led by State Bank of India, has been working with airline stakeholders on “a comprehensive resolution plan towards a turnaround of the company for its sustained growth and restoration of financial health”. <br/>