SpiceJet's Board of Directors has approved the raising of fresh capital exceeding Rs 2,250 crore through the issuance of equity shares to financial institutions, FIIs, HNIs, and private investors. The move is aimed at bolstering the airline's financial strength and accelerating its growth trajectory. The proposed preferential issues involve investors such as Elara India Opportunities Fund, Aries Opportunities Fund, Mahapatra Universal Limited, Nexus Global Fund, Prabhudas Lilladher, Resonance Opportunities Fund, among others. SpiceJet's Chairman and Managing Director, Ajay Singh, sees this capital raise as significant for strengthening the airline's financial position, enhancing operational capabilities, resolving outstanding issues, and positioning the airline for sustained growth in the aviation sector. Singh expresses confidence in achieving the goal of building a world-class airline in India through this capital infusion.
Key Points:
1. SpiceJet's Board of Directors has unanimously approved the raising of fresh capital exceeding Rs 2,250 crore through the issuance of equity shares to Financial Institutions, FIIs, HNIs, and private investors. The move aims to strengthen the airline's financial position and accelerate its growth trajectory.
2. The decision, made during a Tuesday meeting, involves the issuance of equity shares/equity warrants under a private placement basis, pending shareholder and regulatory approvals.
3. The proposed preferential issues include participation from various investors such as Elara India Opportunities Fund, Aries Opportunities Fund, Mahapatra Universal Limited, Nexus Global Fund, Prabhudas Lilladher, and Resonance Opportunities Fund, totaling over Rs 2,250 crore.
4. SpiceJet's Chairman and Managing Director, Ajay Singh, highlighted the significance of this capital raise, stating that it is designed to enhance the airline's financial position, address operational challenges, and position it for sustained growth in the dynamic aviation sector.
5. Singh expressed optimism about the positive impact of these developments on SpiceJet's future, thanking stakeholders, employees, and partners for their patience and support during a challenging phase in the airline's history.
(With Agency Inputs)
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