SpiceJet again denies reports of possible stake sale to Qatar

Singapore
Source: Flightglobal.com
This story is sourced from Flightglobal.com

SpiceJet has again denied reports that it is in talks with Qatar Airways regarding a possible stake sale.

“We wish to reiterate that few investors have evinced interest in the company post government of India allowing foreign direct investment in civil aviation sector to foreign airlines, it will be improper and premature to comment on the possibilities of any fresh equity issuance to such interested parties or confirm/deny names of any specific entity,” says the carrier in a statement to the Bombay Stock Exchange.

“It is misconceived to say that the company is in talks with Qatar Airways for a possible stake sale,” it adds.

This is not the first time SpiceJet has been linked to Qatar, with reports surfacing since January. The Indian carrier has also been linked to the likes of Emirates and Kuwait Airways in relation to possible investments.

SpiceJet has also been identified by analysts as one of the budget carriers most likely to attract foreign investments as they are said to have fared better than their peers in terms of finances and operations.

Since the Indian government relaxed ownership rules for domestic airlines by allowing stakes of up to 49% to be held by foreign investors, Etihad has moved forward with its 24% stake purchase in Jet Airways. Singapore Airlines and AirAsia are, meanwhile, working to set up two new airlines in the country.