SpiceJet raises additional Rs 316 crore; stock jumps 8%

Budget carrier SpiceJet on Thursday said it has raised an additional Rs 316 crore, bringing the total investments raised to Rs 1,060 crore under its preferential issue. "The combined sum reflects strong investor confidence in SpiceJet's future and unlocks exciting opportunities for the company. The Preferential Allotment Committee of SpiceJet's Board of Directors convened on February 21, 2024, approved the allotment of 4.01 crore equity shares on a preferential basis to two investors, including Aries Opportunities Fund Ltd. Additionally, the committee sanctioned the allotment of 2.31 crore warrants, offering the option to apply for and be allotted an equivalent number of equity shares, to four investors, including Elara India Opportunities Fund Ltd," the airline stated.

Ajay Singh, Chairman and Managing Director of SpiceJet, said, "The company has raised a total investment of Rs 1,060 crore. This significant capital infusion reaffirms investor confidence in SpiceJet's growth prospects and strengthens our financial position for the future. With this additional funding, we are well-equipped to pursue our expansion plans and enhance our operational capabilities."

The overwhelming response that we have received from investors has been incredibly encouraging, he added.

The stock today surged 7.66 per cent to hit a day high of Rs 70.60 over its previous close of Rs 65.58.

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