Etihad Airways, Etihad Airport Services, airberlin, Air Serbia, Air Seychelles, Alitalia and Jet Airways have raised $500m (€444m) on the international markets. The seven airlines said they have together taken a new step forward in their strategic business development through as a result of the fundraising initiative.

At a series of roadshow meetings held in Abu Dhabi, Dubai and London, the shared vision and strategies of the airlines were laid out to financial institutions. These highlighted the growing network coordination and revenue development initiatives, coupled with joint procurement and business synergy projects, across the airlines.

Allocation of the funds raised will see 20% per cent each apportioned to Etihad Airways, Etihad Airport Services, airberlin and Alitalia, with 16% to Jet Airways. The remainder will go to Air Serbia and Air Seychelles.

James Hogan, president and CEO of Etihad Airways, said: “The success of this transaction is a major endorsement of the shared vision and strategies of these businesses by the global financial community.

"A key element of our equity partner strategy is creating a total which is greater than the sum of its parts, a grouping which can work together to improve revenues, reduce costs and uncover exciting new business synergies.

In Association with

"We have already been able to identify significant opportunities together, whether that be in shared IT platforms, joint fleet procurement or shared training costs. Commercial fundraising is no different. Our proposed transaction is simply the next logical step in our growing partnership and underpins its strategic importance.”

The funds raised by the transaction will be used largely for capital expenditure and investment in fleet, as well as for refinancing, depending on each individual airline’s needs.

The transaction marks the first time that Etihad Airways and its partners have raised funds together.  To date, Etihad Airways has already raised in excess of US$11 billion from more than 80 financial institutions, to help fund its expansion strategy.

The funds have been raised through a special purpose vehicle, EA Partners IBV.  Goldman Sachs International, ADS Securities and Anoa Capital are acting as joint lead book-running managers for the offering.