Page 7 - Spicejet

SpiceJet raises Rs 3,000 cr through QIP, to receive additional Rs 736 cr

With the latest capital infusion, SpiceJet plans to strengthen its operations, expand its fleet, and extend its network to meet growing passenger demand in the country

Bankruptcy court seeks SpiceJet's reply over unpaid operational dues

The court was told that the said debt has been acknowledged by the airline and yet there has been no compliance

SpiceJet raises Rs 3,000 crore through QIP, to receive additional Rs 736 cr

Domestic carrier SpiceJet on Monday said it has raised Rs 3,000 crore through a Qualified Institutional Placement (QIP). The QIP, which opened on September 16 and closed on September 18, received an overwhelming response from qualified investors and got significantly oversubscribed, demonstrating strong confidence in the company's growth prospects, SpiceJet said in a statement. It also said the QIP attracted a diverse pool of top-tier institutional investors and mutual funds, including Goldman Sachs (Singapore), Morgan Stanley Asia, BNP Paribas Financial Markets ODI, Nomura Singapore Ltd ODI, Tata Mutual Fund, Discovery Global Opportunity Ltd, among others. In addition to Rs 3,000 crore funding, SpiceJet said it will also receive an additional Rs 736 crore from the previous funding round, further boosting its financial stability and growth plans. The newly raised capital will be used to operationalise grounded aircraft, acquire new planes, invest in technology, and expand into new

SpiceJet raises Rs 3,000 cr from institutional investors via share sale

SpiceJet has raised Rs 3,000 crore through sale of shares to qualified institutional buyers, providing a much-needed tailwind for the struggling airline. Foreign entities, including Societe Generale - ODI, Goldman Sachs (Singapore) Pte - ODI, Nomura Singapore Ltd ODI and Discovery Global Opportunity (Mauritius) Ltd are among the investors who have been allotted shares under the airline's Qualified Institutional Placement (QIP) that was oversubscribed. The airline's fundraising committee, on September 20, approved the allotment of more than 48.70 crore shares at a price of Rs 61.60 apiece to the more than 80 QIP participants, according to a regulatory filing. The total amount for which the securities have been issued is nearly Rs 3,000 crore. "Pursuant to the allotment of equity shares in the Issue, the paid-up equity share capital of the company stands increased from Rs 7,94,67,27,170 consisting of 79,46,72,717 equity shares to Rs 12,81,68,57,030 consisting of 1,28,16,85,703 equity

SC dismisses SpiceJet's plea against HC order grounding 3 aircraft engines

The Supreme Court on Friday upheld an order of the Delhi High Court which directed low-cost airline SpiceJet to ground three aircraft engines for defaulting on payments to lessors. A bench comprising Chief Justice D Y Chandrachud and Justices J B Pardiwala and Manoj Misra dismissed the appeal filed by SpiceJet against the high court verdict of September 11. "We will not interfere. It's a correct order," the bench said. A division bench of the Delhi High Court had held that the carrier had violated an agreed interim arrangement for payment of dues and upheld an order of a single-judge bench asking the low-cost airline to ground the three engines for defaulting on the payments. The single-judge bench of the high court had on August 14 directed SpiceJet to ground three engines by August 16 and hand them over to their lessors -- Team France 01 SAS and Sunbird France 02 SAS. A high court bench of Justices Rajiv Shakdher and Amit Bansal refused to interfere with an August 14 order of th

SpiceJet's share sale likely to lure Tata Mutual Fund among others

The budget airline owes payments to airports, has placed staff on leave without pay and withheld mandatory social security payments since January 2022

SpiceJet gets good response for Rs 3k cr worth share sale, oversubscribed

SpiceJet, which has statutory dues of more than Rs 601 crore, has received a good response for its Rs 3,000 crore-worth sale of shares to qualified institutional buyers. Operating with a reduced fleet as well as facing financial and legal headwinds, the carrier is looking to raise funds. Sources in the know on Wednesday said the qualified institutional placement has been oversubscribed, with participation from various investors, including family offices and institutional funds. Some of the investors include family offices of Madhu Kela, Akash Bhanshali, Sanjay Dangi, Rohit Kothari, and Bandhan Bank, the sources said. There was no official comment from the airline. "Due to our financial constraints, our company has not been able to fulfil the statutory liabilities accruing on us on a month to month basis," the airline said in the preliminary placement document related to raising Rs 3,000 crore. As per the document, the airline has not made provident fund payments to the tune of ov

Not paid GST, TDS, and PF dues of Rs 427 crore since 2020: SpiceJet

Legal experts told Business Standard that evasion of GST is a serious offence since it is a tax already collected from the customer but not paid

Passengers protest at airport as SpiceJet cancels Delhi-Darbhanga flight

SpiceJet on Saturday cancelled its flight from the national capital to Darbhanga, triggering protests by passengers at the Delhi airport. A video of passengers protesting and shouting slogans at the airport was shared on social media. In a statement, an airline spokesperson said its flight SG 495 from Delhi to Darbhanga was cancelled due to unforeseen operational reasons and apologised for the inconvenience caused to the passengers. The airline has offered passengers the option of a full refund or alternative flight arrangements to Darbhanga on the following day.

Sebi exempts SHPL from making open offer for SpiceJet shareholders

Markets regulator Sebi has exempted Spice Healthcare Pvt Ltd from making an open offer to SpiceJet shareholders in relation to acquisition of additional shares in the airline. On conversion of warrants that were issued to it, Spice Healthcare, a promoter group entity, would be acquiring an additional 13,14,08,514 equity shares in the airline. In this regard, SpiceJet had sought an exemption from Sebi with respect to making an open offer for the shareholders of the airline. The Securities and Exchange Board of India (Sebi), through an order on Friday, has given the exemption from making the open offer to Spice Healthcare subject to certain conditions, the airline said in a filing to BSE on Saturday. Post conversion of the warrants, Spice Healthcare will have an additional 13.74 per cent stake in the airline and that would trigger the open offer requirement under Sebi norms. The watchdog has given the exemption subject to the condition that the shares acquired by the entity on exerc

Shareholders approve Rs 3,000 crore fund raising plan, says SpiceJet

SpiceJet on Thursday said its shareholders have approved the proposal to raise up to Rs 3,000 crore through issuance of securities. The no-frills carrier -- which is grappling with multiple woes, including financial challenges, legal battles and grounding of aircraft -- is looking to raise money that will help it meet various obligations. In a regulatory filing on Friday, the airline said shareholders have given their nod for the special resolution for raising funds of up to Rs 3,000 crore. The funds are proposed to be raised through Qualified Institutional Placement (QIP) and other options. SpiceJet, which had a fleet of 74 planes in 2019, is currently operating around 20 aircraft. Shares of the airline rose 8 per cent to close at Rs 71.66 on the BSE.

Flight schedules may get impacted due to bad weather in Delhi: Airlines

IndiGo and SpiceJet on Friday evening said that flight schedules may get affected due to bad weather in the national capital while the Delhi airport saw diversion of one flight amid heavy rains. On Friday, heavy rains lashed parts of Delhi on Friday afternoon and the weather department has predicted more showers. An official in the know said one flight of AIX Connect coming from Bagdogra to Delhi was diverted to Lucknow due to bad weather. "It's pouring heavily in #Delhi, affecting flight schedules. If you're planning to jet off, please keep a tab on your flight status... and plan ahead, as roads leading to the airport may be waterlogged," IndiGo said in a post on X at 5.03 pm. In a post on X at 5.12 pm, SpiceJet said that due to bad weather in Delhi, all departures/arrivals and their consequential flights may get affected. "Traffic congestion and slow vehicle movement are expected enroute Delhi Airport due to heavy rains. Passengers travelling to the airport are requested to keep

SpiceJet's domestic market share shrinks to 2.3%, shows DGCA data

Overall, Indian carriers carried a total of 13.1 million domestic passengers, which was 5.7 per cent more year-on-year

SpiceJet moves SC against order grounding its three leased engines

The division bench of the Delhi High Court had rejected cash-strapped airline SpiceJet's plea, saying it did not wish to interfere with single-judge order of same court and asked parties to settle

SC to consider SpiceJet's plea against Delhi HC order grounding 3 engines

The Supreme Court said Thursday it will consider listing low-cost airline SpiceJet's plea challenging a Delhi High Court verdict grounding three aircraft engines for defaulting on payments to lessors. A bench comprising Chief Justice D Y Chandrachud and Justices J B Pardiwala and Manoj Misra asked the counsel for the airline to send an e-mail seeking an urgent hearing of its plea against the high court verdict of September 11. "Please circulate the e-mail," the CJI said, adding that the appeal may be listed. A division bench of the Delhi High Court on Wednesday held that the carrier had violated an agreed interim arrangement for payment of dues and upheld an order of a single-judge bench asking the low-cost airline to ground the three engines for defaulting on the payments. The single-judge bench of the high court had on August 14 directed SpiceJet to ground three engines by August 16 and hand them over to their lessors -- Team France 01 SAS and Sunbird France 02 SAS. A high court

SpiceJet to pay elderly couple full refund for flight cancelled in Covid

A consumer commision here has directed private carrier SpiceJet Limited to refund a senior citizen couple the amount they had paid for a flight cancelled during the COVID-19 pandemic. The commission held that the airline was guilty of deficiency in service by not refunding the ticket cost after the flight cancellation and despite clear guidelines from the Supreme Court and aviation regulator DGCA (Directorate General of Civil Aviation). The district consumer disputes redressal commission (Mumbai suburban) passed the order last month and its details were available recently. As per the order, the complainants, residents of suburban Chembur, had booked two tickets on June 24, 2020, from Mumbai to Pondicherry via Bangalore for a scheduled flight on July 1 and paid Rs 13,696 through a credit card for both tickets. As per their complaint, the couple later received an email from the airline informing them that their flight had been cancelled. In another email, SpiceJet told the couple th

Delhi HC upholds order allowing grounding engines leased to SpiceJet

The division bench rejected cash-strapped airline SpiceJet's plea, saying it did not agree with the single-judge order and asked the parties to settle

Carlyle Aviation will write off $40 million of lease arrears: SpiceJet

The write-off comes days after the airline said it will convert dues to Carlyle Aviation into equity and debentures

Civil aviation ministry trying to address SpiceJet's issues: Rammohan Naidu

The civil aviation ministry is looking at the issues being faced by SpiceJet and address them as the efforts are aimed at having a balance that will allow operations of more airlines amid the high demand in the Indian market, Union minister K Rammohan Naidu said on Monday. The airline is grappling with multiple issues, including financial and legal woes. On August 29, the Directorate General of Civil Aviation (DGCA) decided to place crisis-hit SpiceJet under enhanced surveillance that will entail increased spot checks and night surveillance to ensure the safety of the airline's operations. "We are looking at SpiceJet... with the demand we have, we need more airlines to operate. So we are trying to have a balance and address the problems and (ensure the) airline runs properly," the minister said. He was responding to a question about concerns regarding the budget carrier. To a query about air ticket prices, the minister said airfares are market-driven and it is being monitored by th

SpiceJet's Ajay Singh may sell over 10% stake in airline to raise funds

SpiceJet promoter and chairman Ajay Singh may offload more than 10 per cent stake in the struggling carrier as part of the latest funding round that is expected to close by the end of September, according to sources. The budget carrier -- which is grappling with multiple woes, including financial challenges, legal battles and grounding of aircraft -- is looking to raise money that will help it meet various obligations. One of the sources said that Singh could offload up to a 15 per cent stake in the airline if certain conditions are conducive. Singh, who is the Chairman and Managing Director, would be offloading around 10 per cent shareholding in the airline and the quantum could go up, the second source said. For the proposed QIP (Qualified Institutional Placement), there is already a commitment for up to Rs 2,000 crore and the airline is in discussions with potential investors. Meetings with investors have been held in India and overseas, the sources in the know said. There was