Shares of Jet Airways Friday slumped 7 per cent amid concerns that fair trade watchdog Competition Commission of India (CCI) is seeking explanations from the company and Etihad to ascertain whether they failed to provide information on certain commercial pacts that could raise anti-competition concerns.
Jets scrip ended the day 7.04 per cent lower at Rs 272.75 on the BSE.
In intra-day,the stock plunged 7.9 per cent to Rs 270.20 its 52-week low. At the NSE,the scrip dipped 7.03 per cent to settle at Rs 272.55.
Following the downfall in the stock,the market value of Jet slipped by Rs 234 crore to Rs 3,098 crore.
The concerns over Jet-Eithad deal are rising and news flow is negative. The stock is already in a downtrend and was further pushed down today by about 7 per cent, said Milan Bavishi,Head Research,Inventure Growth and Securities.
The deal,involving Abu Dhabi carrier Etihads purchase of 24 per cent stake in Naresh Goyal-led Jet Airways,was approved last month by the CCI. This has been challenged in the Competition Appellate Tribunal Air Indias former executive director Jitendra Bhargava.