Abu Dhabi's Etihad Airways is looking at the data room of Alitalia and is expected to take a decision on whether to invest in the troubled Italian carrier by Christmas, a source familiar with the matter said on Wednesday.

"Etihad has been in the data room as of some ten days and will complete the process by the end of this week," the source said.

Etihad is expected to decide on whether to buy a stake in Alitalia "just before Christmas", the source added.

Etihad and Alitalia declined to comment. – Reuters