Etihad Airways mulling 48 percent stake in Kingfisher Airlines

Media reports recently said that UAE’s national flag carrier Etihad Airways is mulling to acquire a 48 percent stake in cash-strapped Indian carrier Kingfisher Airlines. The stake is likely to be purchased for a little over $552 million (INR30 billion).

According to reports, the deal could be formally announced around December 18, the birthday of Kingfisher Airlines’ owner Vijay Mallya.

Currently, Etihad Airways flights are operated to 84 passenger and cargo destinations in the North America, Africa, Middle East, Europe, Australia and Asia. The airline operates more than 1000 flights every week to international destinations.

Etihad Airways is also reported to be eyeing stakes in another Indian carrier Jet Airways, which is India’s largest private airline in terms of total passengers carried.

Kingfisher Airlines is in dire straits now and battling for its survival. The airline’s aircrafts have been grounded for the past two months now.