Mumbai
8/12/23
SpiceJet, which has been grappling with a cash crunch for several quarters, announced on Thursday that its board is considering options for raising fresh capital through the issuance of equity or convertible securities on a preferential basis.
Last month, SpiceJet informed the Delhi High Court (HC) that it was “struggling to stay afloat” after the court mandated the airline to make a payment to its former owner, Kalanithi Maran, for outstanding dues. It emphasised that none of the stakeholders would benefit if the budget airline were to enter insolvency. The airline on Thursday said its board meeting, which was scheduled to be held on Friday to approve the second-quarter (Q2) results, has now been deferred to Monday. IndiGo, the only other listed airline in India, has already released its Q2 results on November 3.SpiceJet’s board meeting, which will take place on Monday, will also consider the matter of raising fresh capital. “This is to inform you that the board of directors of the company in its meeting scheduled on December 11, 2023, will discuss and consider... options for raising fresh capital through the issue of equity shares and/or convertible securities on a preferential basis, in accordance with the relevant provisions of applicable laws and subject to the approval of the shareholders of the company and receipt of applicable regulatory approvals, as may be required,” the airline mentioned.
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