Jet Airways pays Rs 400 crore to Air Sahara

Mumbai, Apr 20 (UNI) Jet Airways today paid Rs 400 crore to the promoters of Air Sahara, bringing down the curtains on the acquisition process of Air Sahara by Jet Airways, sources said.

Earlier, while announcing the deal on April 16, Jet had said it would pay Air Sahara Rs 400 crore by April 20.

After nine months of bitter legal battle, the Jet-Sahara deal finally took off earlier this month, as Jet agreed to acquire the Lucknow-based airline for Rs 1,450 crore Jet Airways Chairman Naresh Goyal had described the deal as a 'win-win' situation for both the parties.

The deal is 40 per cent cheaper than the one (Rs 2,300 crore deal) signed last year and the three-member arbitration panel has approved the revised offer.

Under the renewed offer approved by arbitrators, all shares of Air Sahara will be transferred to Jet for Rs 1,450 crore, inclusive of Rs 500 crore which Jet paid last year, sources added.

Jet was asked to pay Rs 400 crore on or before April 20 and another Rs 550 crore in four interest-free annual equal instalments starting March 2008.

UNI