MUMBAI: over 5 months when it had been proclaimed, the Jet Airways’ planned stake sale to Etihad Airways on Thursday got the government’s nod, formally creating the 2 airlines the primary beneficiaries of a rule that last year allowed foreign carriers to get into India’s airlines.

Earlier on, the 2 airlines got a clearance from the country’s markets regulator. it’s nevertheless to urge a nod from a government body that regulates competitive practices within the business.

A senior govt at the airline told ET, it’ll later this month announce an in depth enlargement plans which incorporates connecting twenty Indian cities to its partner’s international hub United Arab Emirates’s capital.

On Gregorian calendar month twenty four, Jet proclaimed it plans to sell pure gold stake Abu Dhabi-based Etihad for $379 million. The deal followed the government’s call last September to permit foreign airlines to shop for up to forty ninth stake in Indian carriers.

The deal can provide the airline abundant required money to retire debt and get plans yet as access to Etihad’s immense international network. Etihad can gain a stronger foothold in Asian country to wean passengers aloof from its competitors Emirates and Qatar Airways.

After saying the deal, the airline straight off enforced its long unfinished modification in property pattern so public property might go up to a minimum of twenty fifth. The airline’s chairman Naresh Goyal control but a hundred and twenty fifth in it whereas the company Tailwinds control regarding eightieth with the remaining shares control by the general public. Goyal presently holds regarding sixty six whereas Tailwinds has simply over Sept. 11. when the deal Goyal can hold fifty one, Etihad pure gold whereas the remainder are going to be with the general public.

But the deal saw more hurdles because the government found problems in Jet-Etihad’s property agreement, spoken language it might divulge hefty powers to the minority partner.

In Gregorian calendar month Jet enforced 3 key changes within the agreement, the foremost necessary of them being to chop Etihad’s nominees on Jet’s board to 2 from 3. Recently, the airline created more changes to the proposal in keeping with suggestions from the FIPB.

Meanwhile, Etihad recently proclaimed major enlargement plans in Asian country.

From November 1, the airline plans to triple the quantity of seats it currently offers between Mumbai-Abu Dhabi and New Delhi-Abu Dhabi, it said.