Sovereign wealth fund ADIA acquires SpiceJet shares from open market

On December 12, the airline had said it would raise fresh capital of Rs 2,250 crore.

Budget carrier SpiceJet said on March 4 that Abu Dhabi’s sovereign wealth fund ADIA has acquired shares of the airline from the open market. "ADIA has acquired shares of the airline from the open market," a SpiceJet spokesperson said on March 4.

However, the low-cost airline did not disclose specific details.

Sources say the Abu Dhabi Investment Authority recently (late February) acquired shares of the airline from the open market, further underscoring the growing investor interest in SpiceJet. Notably, the carrier is facing multiple headwinds and is in the process of raising funds.

In recent weeks, the carrier has raised a total of Rs 1,060 crore through preferential issuance of securities. This, along with efforts to streamline its balance sheet and resolve outstanding issues with lessors, such as the Rs 250 crore settlement with Celestial Aviation, has garnered significant attention from FIIs. The ownership of Foreign Institutional Investors (FIIs) in SpiceJet has witnessed a remarkable surge, increasing by 5.88 percent, from 0.33 percent in December 2023 to 6.21 percent in February 2024.

On December 12, the airline had said it would raise fresh capital of Rs 2,250 crore. Shares of SpiceJet declined 1.50 percent to Rs 62.58 apiece on BSE. As of February 21, 2024, public shareholders, including Foreign Portfolio Investors (FPIs), held 51.51 percent stake in the carrier, according to stock exchange data.

(With PTI inputs)