SpiceJet rallies 18% as Middle Eastern airline looks to buy 24% stake

NEW DELHI: Shares of SpiceJet climbed 18 per cent in Wednesday's trade after ET NOW reported that the airline is in talks with a Middle Eastern carrier for a 24 per cent stake sale.

As per ET NOW sources, SpiceJet is said to be in an active discussion with a Middle Eastern carrier for a possible stake sale. SpiceJet promoter Ajay Singh holds about a 60 per cent stake in the airline operator.



The scrip rose 18.01 per cent to hit a high of Rs 52.40 on BSE.

Sources said a big Middle Eastern airline has expressed interest to pick up 24 per cent stake and a board seat in SpiceJet. Sources added that a big Indian business conglomerate has also approached Singh for a stake in the budget carrier.

Meanwhile, SpiceJet has entered into a full and final settlement with the Airports Authority of India (AAI) and has cleared all outstanding principal dues of the airport operator. With this, SpiceJet no longer remains on ‘cash and carry’ at AAI-run airports across the country and will revert to an advance payment mechanism for daily flight operations.

SpiceJet’s ability to clear the pending dues reflects the airline’s improved cash flow in recent times, the company said in a BSE filing on Tuesday.