In Focus: Jet Set, Where Will It Go...

As Jet Airways (Idirect Code: Jetair) and the Sahara Group agreed to settle a 10-month dispute over a failed merger deal, investors remained divided over the implications on Jet Airways. Jet Airways recently acquired Air Sahara in a deal valued at Rs 2,300 crore. While the company had paid Rs 400 crore as an upfront payment, it will pay Rs 550 crore in four annual installments starting early 2008. Post acquisition, Jet Airways has decided to rename Air Sahara as Jetlite and position it between a low-cost airline and a regular carrier. The deal, in all likelihood, will have a negative impact on Jet Airways in the near-to-medium term as Air Sahara’s integration w

This article was originally published on May 31, 2007.