SpiceJet is focused on finalising several key settlements and expanding its operations on the back of ₹3,000 crore fund infusion in September, airline’s chairman Ajay Singh has said.

“We defied sceptics in 2015 and once again we have proven them wrong. With renewed enthusiasm and fresh capital, we are fully committed to restructuring our balance sheet and clearing all outstanding dues,” Singh wrote in the company’s annual report.

Over the past several months, the airline has lost market share and been dragged to court over nonpayment of dues. With the fundraising, the airline is settling its past dues and firming up growth plans.

“We have already cleared all pending GST and TDS (tax deducted at source) dues and we remain focused on finalising several key settlements in the near future,” Singh said

One recent settlement was with aircraft lessor Aircastle, which has already withdrawn its insolvency case against the airline.

Singh said the airline has earmarked ₹800 crore for ungrounding and fleet upgrades. By 2026, SpiceJet will operate 100 aircraft, he said.

Currently, the airline has 60 aircraft, including six wet-leased planes. However, several of its planes are grounded due to unpaid dues.

SpiceJet is seeking shareholder approval  to increase the company’s authorised share capital from ₹1,500 crore to ₹2,000 crore in its annual general meeting on December 30. Other items on the agenda include proposals to reappoint Singh as a director and Sonum Malhotra as an independent director.

Published on December 7, 2024