On Thursday, SpiceJet shares zoomed 7% in early morning trade as promoter Ajay Singh has planned to infuse Rs 500 crore into the firm by subscribing fresh equity shares and/or convertible instruments.

The board considered and decided to issue equity shares and/or convertible securities/equity share securities on a preferential basis to the promoter and/or the promoter group of the business, on preferential basis. It is based on one or more tranches at an issue price determined by the SEBI ICDR Regulations for Rs 500 crore, subject to shareholders’ approval. The Securities and Exchange Board of India

and/or any other competent authorities determines such other approvals and consent as may be required.
After the promoter’s fund infusion, SpiceJet would be permitted to extra Rs. 206 Crore credit facilities under the Emergency Credit Line Guarantee Scheme (ECLG Scheme).

The airline is already utilising $50 million in funds acknowledged from ECLGS and its own cash reserves to reinstate its grounded aircraft.

In May, Chairman and MD Ajay Singh stated that the airline is precisely working towards quickly recurring the grounded fleet to the air.

At 9:22 am, SpiceJet was trading at Rs 32.77, up Rs 1.61, or 5.17% on the BSE.
The share moved individually to a 52-week high of Rs 52.40 and a 52-week low of Rs 22.65 on 03 August 2022 and 23 May 2023.
It trades 37.46% below its 52-week high and 44.68% above its 52-week low.