SpiceJet board okays Rs 2,250 crore capital infusion

SpiceJet’s Board of Directors has given the green light to a plan aimed at raising over Rs 2,250 crore in fresh capital for the airline. This capital infusion will be achieved through the issuance of equity shares to a diverse set of investors, including Financial Institutions, FIIs, HNIs, and private investors. The decision, made unanimously during a recent board meeting, is conditional on obtaining the requisite approvals from shareholders and regulatory authorities.

The proposed preferential issues involve a lineup of notable investors, including Elara India Opportunities Fund, Aries Opportunities Fund, Mahapatra Universal Limited, Nexus Global Fund, Prabhudas Lilladher, Resonance Opportunities Fund, and others. These investors are set to contribute to the issuance of equity shares and equity warrants totaling more than Rs 2,250 crore.

Ajay Singh, Chairman and Managing Director of SpiceJet, emphasized the strategic importance of this capital raise. He outlined the intended uses of the funds, including strengthening the airline’s financial position, enhancing operational capabilities, addressing outstanding issues, and positioning SpiceJet for sustained growth in the dynamic aviation sector.

Singh expressed optimism about the positive impact these developments would have on SpiceJet’s future. He personally thanked the airline’s stakeholders, employees, and collaborators for their support during challenging times, acknowledging their patience and collaboration in allowing SpiceJet the time and opportunity to overcome difficulties and progress toward becoming a world-class airline in India.