Tata Sons board is meeting on Friday to consider the proposal to bid for Jet Airways.
New Delhi: Shares of Jet Airways on Friday surged over 14 per cent on bourses ahead of a meeting of Tata Sons' board, which is likely to discuss buyout of the cash-strapped airline.
The stock cracked nearly 7 per cent to hit a low of Rs 299.75 apiece in morning trade. It recovered from its opening losses and rose to an intra-day high of Rs 356.60, which is 11.23 per cent higher from the previous close.
At the National Stock Exchange, the shares of the airline rose as much as 14.35 per cent to an intra-day high of Rs 366.95.
"Tata Sons board is meeting on Friday to consider the proposal to bid for Jet Airways," people in the know of the development had told PTI.
On Thursday, shares of Jet Airways had zoomed up to 26 per cent on bourses. A section of media had reported that Tata group was conducting due diligence of Jet Airways to buy the full-service carrier from its owner, Naresh Goyal.
Jet Airways, however, termed media reports of Tata group carrying out due diligence to acquire the airline as "speculative".
In a response to the clarification sought by BSE on the news reports, Jet Airways said, "...the subject news is speculative in nature and that there is no discussion or decision in the board which would require a disclosure..."