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SpiceJet finalises lease agreement for 10 aircraft to boost capacity
On March 7, SpiceJet announced the successful resolution of a $49.8 million (Rs.413 crore) dispute with Echelon Ireland Madison One Ltd
SpiceJet has finalised a lease agreement for 10 aircraft as part of its efforts to augment capacity, the airline said on Thursday. It added the move is aimed at providing seamless connectivity and enhanced services to passengers during the peak travel seasons.
“The additional aircraft will enable the airline to meet the growing demand for air travel, particularly during the busy summer months,” the airline said in a statement. Currently, SpiceJet has more than 30 planes in its fleet.
This comes nearly a month after SpiceJet received in-principle approval from the BSE to raise Rs.2,242 crore by issuing shares and warrants convertible into equities on a preferential basis.
“SpiceJet has received three airframes as part of recent settlement agreements, further strengthening its fleet capabilities,” the airline spokesperson said.
“These settlements with key aircraft lessors have also resulted in savings of Rs.685 crore for the airline,” he said.
After receiving the fund infusion in January this year, the company had stated that a significant portion of it would be used towards the airline’s growth, expanding its network, bringing grounded planes back into operation, and positioning SpiceJet as a more resilient and competitive player in the aviation industry.
On March 7, SpiceJet announced the successful resolution of a $49.8 million (Rs.413 crore) dispute with Echelon Ireland Madison One Ltd. The settlement resulted in savings of $48 million (Rs.398 crore) for SpiceJet and the acquisition of two airframes.
The airline also resolved an $11.2 million (Rs.93 crore) dispute with aircraft leasing firm Cross Ocean Partners, resulting in the transfer of an airframe and an engine to the airline.
Moreover, SpiceJet and Celestial Aviation, a subsidiary of AerCap, mutually settled their $29.9 million (Rs.250 crore) dispute, resulting in a saving of Rs.235 crore for SpiceJet.
“SpiceJet remains steadfast in its mission to serve the Indian aviation sector and looks forward to continuing its growth trajectory while delivering unparalleled value and convenience to passengers across the country,” the statement read.
