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(28 Nov 2024, 15:01)

Spicejet rises after Aircastle (Ireland) withdraws insolvency case following amicable settlement

Spicejet rose 1.65% to Rs 62.40 after company’s Aircraft lessor, Aircastle (Ireland) withdraw its insolvency case against the company before the National Company Law Tribunal (NCLT).


Last month, SpiceJet announced the resolution of a $23.39 million dispute with Aircastle (Ireland) Designated Activity Company and Wilmington Trust SP Services (Dublin). The settlement was reached for an aggregate sum of $5 million, alongside an agreement on the treatment of certain aircraft engines

Both parties opted for an amicable negotiation process, successfully avoiding prolonged courtroom proceedings.

As part of the settlement, all ongoing litigations and disputes between the two parties have been withdrawn from the appropriate forums.

SpiceJet is a low-budget air carrier. The airline operates a fleet of Boeing 737s, Q-400s & freighters and is the country's largest regional player operating multiple daily flights under UDAN or the Regional Connectivity Scheme. The airline also operates a dedicated air cargo service under the brand name SpiceXpress offering cargo connectivity across India and on international routes.

The low-cost air carrier’s standalone net profit declined 26.69% to Rs 149.96 crore on 15.3% fall in revenue from operations to Rs 1,695.52 crore in Q1 FY25 over Q1 FY24.

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