SpiceJet CEO Ajay Singh said on Wednesday that the airline will raise roughly $250 million in the next few months as it expands its operations. The airline is facing a number of challenges, including lessor and financial issues, with Singh stating that the carrier has had "significant black swan events."
"It is difficult to kill SpiceJet....and we are trying to fix the problems," he added, adding that the airline's balance sheet will be cleaned up in the next two quarters.
The airline recently raised $150 million and is seeking additional funding. The airline intends to raise $250 million in the next few months, and the future seems promising, Singh told the CAPA India Aviation Summit in the national capital. Currently, the airline has wet leased certain aircraft because many of its jets are grounded for various reasons.
"We will grow our own fleet," Singh, the airline's Chairman and Managing Director, stated. Singh also stated that having aviation hubs in India is vital, and "we need to take every possible step" in this direction.
Delhi HC Orders SpiceJet to pay Rs 50 crore or face Grounding of two Engines
On last Wednesday, the Delhi High Court allowed SpiceJet a final chance to resolve a Rs 50 crore payment to its engine lessors, Team France and Sunbird France. If the airline fails to meet this commitment, it risks grounding two of its engines.
Currently, the total overdue amount is $10.84 million. SpiceJet has already paid out more than $5 million since the lawsuit was filed in December of last year, according to reports. The judge issued a harsh warning to SpiceJet regarding its delayed payments, stating that if the outstanding amount remains unpaid, the airline will be forced to stop two of its engines.
