Cardig Air leases Boeing 737-400F from Vallair
5th June 2018
SpiceJet is planning to raise more funds and convert certain outstanding liabilities into equity shares. The airline board members will meet on Friday and consider further options to raise capital, airline said in a statement.
SpiceJet is grappling with legal woes, technical issues, aircraft grounding due to supply chain woes and is looking to raise fresh capital through the issuance of eligible securities to qualified institutional buyers.
Besides, the carrier plans to issue equity shares on a preferential basis consequent upon the conversion of outstanding liabilities into equity shares of the company, subject to applicable regulatory approvals, according to a filing to the BSE. Both plans will be taken up by the board of directors during its meeting scheduled for February 24.
In December 2022, SpiceJet chairman and managing director Ajay Singh had told shareholders that the company is engaged with investment bankers to raise up to $200million in order to achieve its future plans.
He had also said the increase in the Emergency Credit Line Guarantee Scheme to INR 1.5 million will provide the much-needed stability to the airline.
SpiceJet recently wet leased its sixth 737-800 from Corendon Airlines. The aircraft took off from Antalya on February 15, 2023 and commenced commercial operations for SpiceJet from February 17, 2023. The aircraft is operating on six domestic destinations a day.
Meanwhile, SpiceJet has 129 pending 737-8s on order with Boeing and besides Corendon ACMI aircraft, SpiceJet has not received any MAX aircraft since 2018.