SpiceJet stock soars over 12% on Tigerair deal
Shares of SpiceJet on Monday jumped over 12 % after the company announced a three-year interline agreement with Singapore's largest budget airline Tigerair to increase connectivity between both the carriers.
SpiceJet's scrip rose by 12.1% to Rs 17.60 on the BSE.
SpiceJet is the first Indian low-fare airline to establish such an arrangement with a foreign airline.
This partnership will result in a major boost for tourism and business travel between the two countries, says a press release issued by India's no-frill airlines.
SpiceJet Chief Operating Officer Sanjiv Kapoor said, "We are glad to announce the interline partnership that brings two leading low-fare Asian carriers together. This is a historic moment for SpiceJet and Tigerair. This partnership will hugely benefit travellers from India and Singapore and represents one of the building blocks of the emerging new SpiceJet.
Starting from January 6, 2014, customers travelling on SpiceJet's domestic network from 14 Indian cities can have seamless connection through Hyderabad's Rajiv Gandhi International Airport onto Tigerair's Singapore-bound flights, the company said.
Similarly starting January 12, 2014, Tigerair customers from Singapore will also enjoy easy access to SpiceJet's wide domestic network, making their holiday and business travel more seamless, it said.