SpiceJet shares soared to a new 52-week high in early trading on December 11 after the airline announced plans to float its stock on the National Stock Exchange (NSE). In its exchange filing, the airline did not specify a timeframe for listing but stated that it will happen "soon." SpiceJet shares rose more than 7% to Rs 59 per share on the BSE. As of 9:48 a.m., the shares were trading at around Rs 56.14, up 2.13 percent.
SpiceJet's board of directors will meet on December 11 to discuss alternatives for raising new capital through the preferential issuing of shares or convertible securities.
The National Company Law Tribunal (NCLT) dismissed on December 5 a petition brought by aircraft lessor Willis Lease Finance to commence insolvency proceedings against the airline for unpaid dues.
In 2023, three aircraft lessors filed for insolvency petitions against SpiceJet for nonpayment of dues. Aside from the lessors, a technology services provider has also filed an insolvency petition against the airline.
The indebted airline has been experiencing operational issues across India, including postponing flight services at Pune, Patna, and New Delhi airports.
SpiceJet promoter Ajay Singh was in talks with a slew of global private credit funds to borrow up to $100 million to restructure some of the promoter debt and perhaps inject new equity into the airline.
The airline posted a standalone net profit of Rs 204.56 crore in the first quarter of FY24, compared to a net loss of Rs 788.83 crore the previous year. The airline has yet to announce its September quarter results.
