SpiceJet shares fly 7% higher on airline’s plans to list on NSE soon

SpiceJet shares hit a fresh 52-week high in early trade on December 11 as the airline announced plans to list its shares on the National Stock Exchange (NSE).

The airline did not mention any date of listing in its exchange filing  but said it would occur “soon”.

The SpiceJet shares surged over 7 percent to Rs 59 apiece on the BSE. As of 9.48am, the shares were trading around Rs 56.14, higher by 2.13 percent.

The board of the cash-strapped SpiceJet will meet on December 11 to consider options to raise fresh capital through the issuance of equity or convertible securities on a preferential basis.

On December 5, the National Company Law Tribunal (NCLT) dismissed a plea filed by aircraft lessor Willis Lease Finance to initiate insolvency proceedings against the airline over unpaid dues.

Around three aircraft lessors filed four insolvency pleas against SpiceJet in 2023 for non-payment of dues. Other than the lessors, a tech services provider has also moved an insolvency plea against the airline.

The debt-laden airline has been facing operational disruptions across India, delaying flight services recently in Pune, Patna and New Delhi airports.

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Moneycontrol.com had, on November 28, was the first to report that SpiceJet promoter Ajay Singh was in discussions with a clutch of global private credit funds to raise up to $100 million to refinance part of the promoter debt and potentially infuse fresh equity in the airline.

For the first quarter of FY24, the airline reported a standalone net profit of Rs 204.56 crore as against a net loss of Rs 788.83 crore in the year-ago period. The airline is yet to report its numbers for the September quarter.

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