Jet, Kingfisher eye Emirates’ stake in SriLankan Airlines

25 January, 2008:

Jet Airways and Kingfisher Airlines are said to be keen on acquiring Emirates' stake in SriLankan Airlines.

The race has been set in motion with the Emirates announcing that it was looking to sell its 43.6 per cent stake in SriLankan Airlines for an expected price of around $150 million. According to analysts, acquiring a stake is the booming business from India to Colombo is a chance to stay on top for Indian carriers. The India-Colombo route runs over 100 flights a week.

The Sri Lankan government owns 51 per cent in the airline. The Lankan government is also seen as a possible front runner to acquire the Emirates' stake in the airline. It has been reported that the SriLankan Airlines management will inform the government of its decision with regard to the stake sale on April 1, 2008.

In the meantime, Jet Airways and Kingfisher Airlines have yet to make a public announcement regarding their interest in Emirates' stake in Sri Lankan Airlines. Jet Airways already operates flights to Colombo and is boosting its international operations to counter growing competition in the domestic market.