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Shares of SpiceJet on September 15 climbed more than 4% after the company completed a payment of $1.5 million to global investment bank and financial services firm Credit Suisse. The stock gained 4.22% to ₹40 after a positive beginning on the Bombay Stock Exchange (BSE.)

SpiceJet has complied with the directive of the Supreme Court by remitting $1.5 million to Credit Suisse, according to a company statement on September 15. “The payment was executed on Thursday,” it added.

The Supreme Court had come down hard on SpiceJet chairman and Managing Director Ajay Singh, warning him he will be sent to Tihar jail for non-compliance with its order on making payment to Credit Suisse AG.

The top court had asked Singh to pay $5,00,000 towards an instalment to the Swiss firm along with a $1 million defaulted amount.

In a statement on Tuesday, the airline said, “SpiceJet acknowledges the legal process and is committed to complying with all court’s directives and obligations in the Credit Suisse case and will make the payment of $1.5 million as per the court directive. Till date, SpiceJet has already paid a total of $8 million to Credit Suisse.” “SpiceJet remains committed to the highest standards of transparency and legal compliance. This liability is an old one and predates the current promoter taking over the company,” it had said.

According to the Swiss firm, SpiceJet had availed the services of SR Technics, Switzerland, for maintenance, repair, and overhaul of aircraft engines, modules, components, assemblies, and parts, which were mandatory for its operations.

New Delhi:

Shares of SpiceJet were in heavy demand today and jumped 20 per cent to hit the upper circuit limit.

The stock rallied amid reports that nearly 3 per cent equity changed hands at the BSE.

On Monday, SpiceJet announced the allotment of 4.81 crore equity shares on a preferential basis to nine of its aircraft lessors to clear outstanding dues of Rs 231 crore.

Shares of the company jumped 19.98 per cent to settle at Rs 39.70 — its upper circuit limit — on the BSE.

In volume terms, 247.71 lakh shares of the company were traded on the BSE.

The National Company Law Tribunal (NCLT) on Tuesday suggested that SpiceJet settle the issues with lessors that have sought initiation of insolvency proceedings against it.

SpiceJet on Tuesday said it has received up to three months more time from the Registrar of Companies for holding its annual general meeting for the year ended March 2023.
 

Bengaluru:

Low-cost carrier SpiceJet on Monday said it allotted over 4.8 crore shares to nine aircraft lessors to clear outstanding dues worth nearly Rs 231 crore, as the troubled airline looks to return to full operations.

The carrier’s shareholders had on Thursday passed a number of resolutions, including a Rs 2,500 crore fundraising and a preferential issue of shares to lessors to clear outstanding dues.

SpiceJet has been scrambling to raise funds and restore operations for about a fourth of its fleet that has been grounded amid fierce competition in the sector.

The fund crunch and grounded fleet have eroded SpiceJet’s market share to 4.2% as of July – lower than that of new entrant Akasa, which only began commercial operations in August 2022.

SpiceJet, which in February converted around $100 million in dues to aircraft lessor Carlyle Aviation into equity and debentures, still finds itself in legal battles with other lessors over dues.

Moreover, two weeks back, a court ordered the airline to pay Rs 99.27 crore by September 10 to former owner Kalanithi Maran over money owed.

Two months back, SpiceJet’s top shareholder and managing director, Ajay Singh, said he would infuse Rs 500 crore into the company.

Its cash and cash equivalents for the year ended March 31 stood at Rs 33.7 crore.