In a bid to address its ongoing financial challenges, SpiceJet, the beleaguered airline, has taken the step of issuing 4.81 crore equity shares on a preferential basis to nine aircraft lessors, with the goal of settling dues amounting to Rs 231 crore. The allotment of shares was made to entities such as SASOF III (A13) Aviation Ireland DAC and Citrine Aircraft Leasing Limited, among others.
Furthermore, SpiceJet revealed that it has also issued 3.41 crore equity shares and 13.15 crore warrants at an issue price of Rs 29.84 each to Spice Health Care Private Ltd, an entity within the ‘promoter group.’ Earlier this year, SpiceJet had converted around $100 million in dues to aircraft lessor Carlyle Aviation into equity and debentures.
In addition to these financial maneuvers, SpiceJet has been facing legal pressures, including a recent Delhi High Court order to pay Rs 100 crore to former owner Kalanithi Maran, with total dues to Maran amounting to Rs 397 crore. The airline’s shareholders have approved various resolutions, including a Rs 2,500 crore fundraise and a preferential issue of shares to address outstanding dues.
Despite these efforts, SpiceJet’s market share has declined to 4.2%, primarily due to operational issues and the grounding of a significant portion of its fleet, placing it below new entrant Akasa, which began commercial operations in August 2022.