SpiceJet Faces Financial Turbulence Amid Stake Sale and Insolvency Pleas

Ajay Singh, MD of SpiceJet, sold nearly 1% of his stake for Rs 52 crore, reducing his holding to 22%. SpiceJet faces insolvency pleas from three aircraft lessors, alleging a USD 12.68 million default. The airline recently reported a profit after tax of Rs 26 crore for the last quarter.

Ajay Singh, managing director of SpiceJet, has sold nearly 1% of his stake in the budget airline, amounting to Rs 52 crore via an open market transaction. This sale reduces Singh's shareholding in the airline from 22.9% to 22%.

The aircraft industry observed further turbulence with SpiceJet's shares dropping by 6.38% on the BSE. This comes amid fresh insolvency claims filed by three Ireland-based lessors and a former pilot, seeking USD 12.68 million. The airline had a chance to clarify, stating it is in discussions to resolve the issue.

Despite these challenges, SpiceJet reported a profit of Rs 26 crore in the last quarter, a turnaround from the Rs 300 crore loss posted a year ago. However, its latest revenue figures fell short when compared to the same quarter last year.

(With inputs from agencies.)