SpiceJet shares rise 5% in early deals on plan to raise funds

Shares of airline SpiceJet rose nearly 5% in news today after the low-cost airline said it would hold a board meeting on July 23 to consider raising fresh capital through qualified institutional placement. The company made the disclosure to the exchanges in a filing on July 18.

The stock rose 4.92% to Rs 58 on BSE today. The airline stock ended 4.19% lower at Rs 55.28 on Thursday against the previous close of Rs 57.70 on BSE.

In the current session, a total of 2.90 lakh shares of the firm changed hands amounting to a turnover of Rs 1.64 crore on BSE. The market cap of SpiceJet climbed to Rs 4482.74 crore. The stock fell to a 52-week low of Rs 28 on July 31, 2023 and a 52 week high of Rs 77.50 on February 5, 2024.  

The stock has lost 7% since the beginning of this year and risen 90% in a year.

In terms of technicals, the relative strength index (RSI) of SpiceJet stands at 52.4, signaling it's trading neither in the overbought nor in the oversold territory. The stock has a beta of 1, indicating average volatility in a year.

“A meeting of the Board of Directors of SpiceJet Limited (the “Company”) will be held on July 23, 2024 (Tuesday), inter-alia, to consider and approve raising fresh capital through issue of eligible securities to qualified institutional buyers by way of qualified institutional placement under the provisions of the SEBI (Issue of Capital and Disclosure Requirements) Regulations 2018 and any other methods including by way of further issue, in accordance with the relevant provisions of applicable laws and subject to approval of the shareholders of the Company and other applicable regulatory and contractual approvals, as may be required,” the company said.