SpiceJet share price jumps 19% as NCLT asks airline to resolve issues with lessors
SpiceJet share price continued witnessing traction as it surged as much as 19 per cent in intraday day on BSE on Wednesday, a day after the company said the National Company Law Tribunal (NCLT) on Tuesday (September 5) asked it to resolve its issues with lessors. The court, which also verbally asked the airline to offer shares to the lessor, deferred the matter for 15 September.
SpiceJet share price opened at ₹34 against the previous close of ₹33.09 on BSE and jumped 19 per cent to an intraday high of ₹39.40 on BSE. Around 2 crore shares of SpiceJet changed hands on the BSE, the exchange data showed.
In the previous session, the stock closed 6.33 per cent higher after the NCLT news.
The stock hit its 52-week high of ₹46.20 on BSE on September 9 last year. It has strongly underperformed the equity benchmark Sensex in the last one year. SpiceJet share price has fallen nearly 27 per cent in the last one year (as of September 5) against an 11 per cent gain in the equity benchmark Sensex.
As Mint reported earlier, on Monday (September 4), SpiceJet said it will allot 48.1 million shares on a preferential basis to nine of its aircraft lessors to clear dues worth ₹231 crore. The allotment committee of the board of directors of the company passed several resolutions, including a ₹2,500 crore fundraiser and a preferential issue of shares to lessors at an issue price of ₹48 each to clear its outstanding dues, the low-fare airline said in a stock exchange filing.
Celestial Aviation is the fourth lessor to file a case against SpiceJet in the NCLT for pending dues. Other lessors with pending cases against the airline include Willis Lease Finance Corp, Wilmington, and Aircastle.
SpiceJet is also facing legal battles in the High Court, as the Delhi High Court has ordered the airline to pay ₹100 crore to former owner Kalanithi Maran by September 10th to settle money owed. SpiceJet’s total debt to Maran amounts to ₹397 crore. The High Court is scheduled to issue its order in this case on September 11th.
Read more: NCLT asks SpiceJet to resolve issues with lessors
Meanwhile, SpiceJet in a BSE filing on Tuesday said it had obtained an extension of up to three months from the Registrar of Companies for conducting the Annual General Meeting (AGM) for the financial year 2022-2023. The company said the AGM for FY23 will be held on or before December 31, 2023.
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Updated: 06 Sep 2023, 02:25 PM IST
Ganesh
http://ganesh@finplay.inFinance enthusiast, Mutual fund expert.