Budget carrier SpiceJet said on May 11 said it is taking steps to revive its grounded fleet using the $50 million it received from the government's Emergency Credit Line Guarantee Scheme (ECLGS) and internal cash accruals, as it sought to quash rumours of insolvency.
Despite the recent turbulence in the Indian aviation market, SpiceJet has said it had no intentions of filing for insolvency and was focused on its business.
The airline was actively engaging with investors to raise funds and put itself back on track, it said in a regulatory filing.
“There is absolutely no question of filing for insolvency. Any rumour regarding the same is completely baseless. We are focussed firmly on reviving our grounded fleet and getting more and more planes back into the air. Work on this front has already begun and the Company is using the $50 million ECLGS funds and our own cash,” Chairman and Managing Director Ajay Singh said.
“We have a great relationship with all our partners. Our lessors have supported us through the thick and thin and continue to do so and we are grateful for their support and confidence.”
Last week, the budget carrier had announced plans to revive 25 grounded aircraft that will help it capitalise and make the most of the upcoming peak travel season.
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