Jet's promoters to sell 1.54 pc more stake
Jet Airways, on Thursday, offered to sell nearly 43 lakh shares via Offer-for-sale (OFS) mechanism.
New Delhi: Jet Airways on Friday said market regulator Securities and Exchange Board of India (Sebi) has allowed its promoters to sell further 1.54 per cent stake and relaxed the conditions for undertaking the sale through OFS route to help the company meet minimum 25 per cent public shareholding norm.
Jet Airways, on Thursday, offered to sell nearly 43 lakh shares via Offer-for-sale (OFS) mechanism and got bids for around 30 lakh scrips accounting for 3.5 per cent stake in the company.
Further sale of 1.54 per cent holding, which could be done on Monday, the last date for complying to Sebi's norms, would result in total five per cent stake sale by promoters. This would take the total public holding in the company to 25 per cent.
Sebi, in a communication to Jet Airway's main promoter Tail Winds, said,"promoters of the company are allowed to sell upto 1.54 per cent of the share capital on the floor of the stock exchange in a bona fide manner to unrelated non -promoter entities through the regular market conditions."
Shares of Jet Airways, which opened on a weak note, further fell by 5.66 per cent to a low of Rs 498.60.
However, after share-sale, the company recouped some of the losses and was trading at Rs 504.25 apiece on the BSE, down 4.60 per cent from the previous close at 1249 hours.
Meanwhile, Tail Winds is in the process of transferring its stake to Jet Airways chairman Naresh Goyal. Since last week, Tail Winds had sold 66 per cent stake to Goyal through two block deals on the stock exchanges.
On Friday, Goyal had picked up nearly 37 per cent stake in the company for about Rs 1,670 crore. Last week, Goyal had purchased 29 per cent stake from Tail Winds for about Rs 1,434 crore.
At the end of March quarter, Tail Winds held 6.90 crore shares or 79.99 per cent stake in Jet Airways, while Goyal owned 9,995 scrips, amounting to 0.01 per cent holding, in the company in his personal capacity.
The transactions are part of Jet Airways' plan to make Goyal its main promoter with at least 51 per cent stake in his personal capacity. Jet's board and shareholders have already approved allotment of shares on preferential basis for sale of 24 per cent stake to Abu Dhabi-based Etihad Airways.
After the completion of Jet-Etihad deal, Jet has proposed to have 51 per cent stake with Goyal, 24 per cent with Etihad and remaining 25 per cent with the public.