Etihad takes 24% stake in India’s Jet Airways

The United Arab Emirates’ Etihad Airways has agreed to pay $379 million for a 24% stake in India’s Jet Airways, in an alliance that aims to benefit both national carriers. The move follows a recent decision by the Indian government to allow foreign holdings in the domestic airline industry to reach as much as 49%.

Etihad will pay Rs754.74 $13.95 each for 27.3 million new shares in Jet, equivalent of Rs20.6 billion, and at a premium of more than 30% to Jet’s share price before the announcement late on April 24.

In addition, Etihad intends to invest a further $220 million in the venture, including $70 million...