Kingfisher Airlines is up nearly 5% for the second day in a row and locked in upper circuit of Rs 16.45 with no sellers on the counter after the company has confirmed that it is in talks with Etihad Airways and other investors to take a stake in the embattled carrier.
A combined 3.53 million shares have already changed hands on the counter till noon deals and there are pending buy orders for 19.65 million shares on the BSE and NSE.
“The company is in discussion with various investors, including Etihad Airways, for equity investments in the company. However there is no agreement has been reached either with Etihad or any other airline and the matters are merely at a negotiation stages,” Kingfisher Airlines said in a filing to the stock exchanges.
According to the media reports, Abu Dhabi-based Etihad Airways has agreed to pick up 48% stake in the Vijay Mallya-owned carrier for Rs 3000 crore.
The company has been attempting to raise much-needed capital over the last 2 years pursuant to shareholders resolutions approving the same and duly reported to the stock exchanges, has been widely reported in the media for a long time, the company said.