(MENAFN - Khaleej Times) India's loss-making private airline, Jet Airways is in discussions with Etihad Airways to sell a stake.
The confirmation was made in a regulatory filing to Bombay Stock Exchange on Thursday by Jet Airways saying: "Jet and Etihad are in a discussion regarding a potential investment by the latter in the former, these discussions have commenced recently."
The clarification was issued following a story appearing in a financial newspaper, which revealed that Jet Airways is selling 24 per cent stake to Etihad Airways for 300-400 million in ten days.
The story jacked up the share price by 0.47 per cent to close at Rs579.60 on the Bombay Stock Exchange.
The airline said: "The discussions are in progress but no terms have been firmed up at present."
Jet also said: "various structures are being explored by the legal and commercial teams and care being taken to ensure that all the Indian regulatory requirements are fully complied with."
The Indian airline did not give a "firm time line as to the progress of these negotiations, considering the complexity of trans-national transactions such as this, and the complexity of the legal requirements of the regulatory structure."
Etihad Airways spokesperson did not confirm the talks with Jet Airways.
"We have not received any details from the UAE and India Etihad Airways office regarding the same," the Abu Dhabi-based airline told Khaleej Times.
However, it said the Indian aviation industry offers tremendous potential, with significant passenger movement on domestic and international sectors.
"The investments will be made where Etihad Airways believes the commercial prospects are strong," the spokesperson said.