Commerce and Industry Minister Anand Sharma on March 14 said neither Jet Airways nor Etihad Airways has approached the government with a formal investment proposal. Sharma said that the government has so far not received a formal proposal from Etihad for investing in Jet Airways. Jet has been in talks with Etihad to sell 24 per cent stake for the past few months for around $300 million.    

But the UAE government-run airline of late has developed some cold feet about the deal and reportedly seeking firm commitment from the government for the safety and security of its proposed investment. Earlier this month, Jet sold its parking lots in the premium Heathrow airport to Etihad for $70 million, improving the possibility of a deal between the two airlines.    

Earlier in January, an official at the trade ministry had said that Etihad would soon apply to the Foreign Investment Promotion Board for investing in Jet Airways.