Jet Airways (India) has rallied over 7% at Rs 232 in early morning deals on the NSE on reports that the Securities and Exchange Board of India (SEBI) has issued a show-cause notice to Etihad Airways and asked for a response on why it should not make a tender offer to Jet public shareholders as part of takeover rules.
The market regulator has served a notice on Etihad Airways for alleged violation of the takeover code regulations while acquiring 24% stake in Jet Airways, the Business Standard report suggests.
According to Sebi’s takeover code regulations, an open offer is triggered in multiple ways, including when an entity acquires 25% stake in a listed firm and/or if it acquires ‘control’ over it, added report.
A combined 0.55 million shares changed hands on the counter till 0925 hours on the NSE and BSE.
The market regulator has served a notice on Etihad Airways for alleged violation of the takeover code regulations while acquiring 24% stake in Jet Airways, the Business Standard report suggests.
According to Sebi’s takeover code regulations, an open offer is triggered in multiple ways, including when an entity acquires 25% stake in a listed firm and/or if it acquires ‘control’ over it, added report.
A combined 0.55 million shares changed hands on the counter till 0925 hours on the NSE and BSE.