Debt-ridden SpiceJet on October 4 said it has cleared all pending salary and GST dues and also deposited ten months of provident fund(PF) dues of its employees. A spokesperson of SpiceJet said the process of clearing other outstanding dues is ongoing. The spokesperson further said that SpiceJet has successfully reached settlements with multiple lessors.
"SpiceJet is pleased to announce that within the first week of raising fresh funds through the Qualified Institutional Placement (QIP), the airline has cleared all pending salary and GST dues and has made significant progress by depositing ten months of PF dues, and the process of clearing other outstanding dues is ongoing," the company spokesperson said in a statement. "In addition, the company has successfully reached settlements with multiple lessors. We remain on track with the financial and operational plan outlined in our QIP strategy," the spokesperson further added.
Last month, the airline raised Rs 3,000 crore through the Qualified Institutional Placement (QIP). After receiving the fresh capital of Rs 3,000 crore, SpiceJet had cleared GST dues worth over Rs 145 crore, cleared salary dues of employees for July and August as well part of pending June salaries. Shares of the company were down by 4.25% to Rs 62.79 apiece on Friday.
The QIP attracted a diverse range of top-tier institutional investors and funds, including marquee names such as Goldman Sachs (Singapore), Morgan Stanley Asia, Tata Mutual Fund, and Discovery Global Opportunity Ltd.
Along with employee dues, the airline has also cleared outstanding GST payments, signalling a broader effort to rectify its financial
standing.
With plans to introduce new aircraft, expand its routes, and restore its network, SpiceJet is signalling its intent to regain a stronger position in the competitive aviation market.
Meanwhile, Plutus Wealth Management on Tuesday raised its holding in domestic carrier SpiceJet by acquiring additional shares for Rs 50 crore through an open market transaction.
According to the bulk deal available with the BSE, Plutus Wealth Management purchased 75 lakh shares or 0.58 per cent stake in Gurugram-headquartered SpiceJet. The shares were bought at an average price of Rs 66.70 apiece, taking the transaction value to Rs 50.02 crore.
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