Jet Airways has said that it is in discussion with Etihad Airways to sell stake. “These discussions have commenced recently pursuant to the liberalised foreign direct investment (FDI) policy which permitted foreign investment in the shares of an Indian airline,” Jet Airways said in a filing with the stock exchanges.

“The discussions are in progress but no terms have been firmed up at present. 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 statement added.

Jet Airways said “by its very nature, there cannot, at this stage, be 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.”

It said since no agreement had been reached with Etihad as yet, no regulatory approvals had been sought at present. “An appropriate announcement shall be made upon finalisation of the terms of the investment with Ethiad as per legal and regulatory requirements,” the airline said. It is believed that Jet will sell 24 per cent stake to mobilise funds to repay debt.

Jet Airways shares closed with a gain of 4.70 per cent at Rs.606.85 on the BSE on Wednesday.