DLA Piper has advised Etihad Airways on its investment of $379m (£245m) in a 24 per cent stake in Jet Airways as part of a strategic alliance between the two airlines.
This is the first investment by a foreign airline in an Indian airline since the Indian government liberalised its rules for the Indian aviation sector in September 2012.
The balance of Etihad’s $600m overall strategic investment in Jet Airways comprises a $70m purchase and leaseback of Jet Airways’ three pairs of Heathrow Airport landing and take-off slots, which was announced in February. Subject to appropriate regulatory and corporate approvals, Etihad will invest $150m in a significant equity investment in Jet Airways’ Jet Privilege frequent-flyer programme.
The DLA Piper team was led by partners Jon Hayes and Dr Benjamin Parameswaran with legal director Ciaran Stone. Partners Mark Franklin, Alexandra Kamerling, Jan Dreyer, Graham Tyler and Sarah Day led on the regulatory, competition and finance aspects of the transaction.