SpiceJet scrip ends over 3 per cent up on Boeing deal

MUMBAI: Shares of budget carrier SpiceJet today rose by over 3 per cent after the company placed an order for 42 737 MAX jets with the US aircraft maker Boeing for USD 4.4 billion (Rs 26,000 crore).

After surging 7.49 per cent to Rs 15.20 in intra-day trade, the SpiceJet scrip finally closed at Rs 14.61, up 3.32 per cent, on the BSE.

On the volume front, 45.47 lakh shares of the company changed hands on the BSE during the day.

SpiceJet and Boeing signed an memorandum of understanding (MoU) for the deal at the inaugural day of the 4th edition of the India Aviation Conference in Hyderabad.

"SpiceJet greatly values the ties we have built over the years with Boeing. The Boeing Next-Generation 737 aircraft, the mainstay of the fleet ever since SpiceJet started operations, have vindicated our choice by their endurance, reliability and cost effectiveness," said S L Narayanan, Group CFO for The Sun Group.

"The induction of Boeing 737 MAX will further modernise our fleet, improve customer experience, and ensure that we operate the most efficient fleet well into the future," he added.

The 737 MAX brings the most advanced engine technologies to the world's best-selling airplane, building on the strengths of Next-Generation 737, he said.