New Delhi: SpiceJet, which has been facing multiple headwinds, in a statement company said it has received Rs 744 crore as the first tranche of funds being raised through allotment of securities on a preferential basis.
On December 12, the airline had said it would raise fresh capital of Rs 2,250 crore through issuance of securities.
According to a release, on January 25, the company’s board of directors approved the allotment of 5.55 crore equity shares on a preferential basis to 54 subscribers.
In this initial phase, SpiceJet has allotted shares and warrants, marking a major step in the capital-raising process. The board has further greenlit the allocation of 9.33 crore warrants to Elara India Opportunities Fund Ltd and Silver Stallion Ltd.
Acknowledging the need for an extension in the ongoing preferential issue process, the airline has formally requested additional time from the competent authority. This extension is attributed to the limited banking days due to extended weekends during the intervening period, although specific dates were not disclosed.
Ajay Singh, Chairman and Managing Director of SpiceJet, expressed confidence that the injected funds would pave the way for new opportunities, contributing to a more cash-efficient operation, an expanded fleet, and an enhanced network for the airline.
PTI