India's Jet surges on reports Etihad may buy 10-12 pct stake from owners

NEW DELHI, March 8 Fri Mar 8, 2013 3:01pm IST



NEW DELHI, March 8 (Reuters) - Shares in India's Jet Airways extended gains to more than 13 percent on Friday, after CNBC TV18 reported that Abu Dhabi's Etihad Airways may buy a 10-12 percent stake in the company directly from promoters.

Etihad may pay as much as 750 rupees ($13.75) a share for the stake, the report said.

Etihad has been in talks with Jet to buy a 24 percent stake, government sources have told Reuters.

The channel said Etihad may buy the remaining stake by issuing preferential shares.

($1 = 54.5350 Indian rupees) (Reporting by Anurag Kotoky; editing by Malini Menon)