Explorer

SpiceJet CMD Says No Question Of Filing For Insolvency, Efforts On To Revive Grounded Fleet

SpiceJet said it is taking steps to revive its grounded fleet using the $50 million it received from the government's Emergency Credit Line Guarantee Scheme (ECLGS) and internal cash accruals

Indian budget carrier SpiceJet said on Thursday said it is taking steps to revive its grounded fleet using the $50 million it received from the government's Emergency Credit Line Guarantee Scheme (ECLGS) and internal cash accruals, as it sought to quash rumours of insolvency.

Despite the recent turbulence in the aviation market, SpiceJet has said it had no intentions of filing for insolvency and was focused on its business, according to a statement issued by the airline.

The carrier was actively engaging with investors to raise funds and put itself back on track, it said in a regulatory filing.

"There is absolutely no question of filing for insolvency. Any rumour regarding the same is completely baseless. We are focussed firmly on reviving our grounded fleet and getting more and more planes back into the air. Work on this front has already begun and the Company is using the $50 million ECLGS funds and our own cash," Chairman and Managing Director Ajay Singh said. "We have a great relationship with all our partners. Our lessors have supported us through the thick and thin and continue to do so and we are grateful for their support and confidence," Singh added.

Last week, the budget carrier had announced plans to revive 25 grounded aircraft that will help it capitalise and make the most of the upcoming peak travel season.

The National Company Law Tribunal (NCLT) on Monday issued a notice to SpiceJet on a petition filed by an aircraft lessor seeking initiation of insolvency resolution proceedings against the budget carrier and the next hearing is scheduled for May 17, the PTI reported. The petition was filed by Aircastle (Ireland) Ltd.

According to the PTI report, a two-member Principal bench of the NCLT headed by President Ramalingam Sudhakar issued the notice to SpiceJet and directed to list the matter on May 17 for the next hearing. A SpiceJet spokesperson said that in the Aircastle issue, notice was issued in normal course. "There was no adverse ruling against SpiceJet. The court has recognised the fact that parties are under settlement discussions and they can continue to pursue the same," he said.

View More
Advertisement
Advertisement
25°C
New Delhi
Rain: 100mm
Humidity: 97%
Wind: WNW 47km/h
See Today's Weather
powered by
Accu Weather
Advertisement

Top Headlines

Elections 2024: Maharashtra, Jharkhand Brace For Results Today In Mahayuti Vs MVA, INDIA Vs NDA Battles
Maharashtra, Jharkhand Brace For Poll Results Today In Mahayuti Vs MVA, INDIA Vs NDA Battles
Manipur Crisis: Govt To Deploy 90 More CAPF Companies, 258 Dead In Clashes Since May 2023, Security Advisor Says
Manipur Crisis: Govt To Deploy 90 More CAPF Companies, 258 Dead In Clashes Since May 2023
Delhi Pollution: AQI Drops To 'Severe' Again; Gopal Rai Urges Action Post SC Criticism On GRAP Enforcement
Delhi Pollution: AQI Drops To 'Severe' Again; Gopal Rai Urges Action Post SC Criticism On GRAP Enforcement
Jharkhand Election Results: Hemant Soren To Champai Soren — Battles Of Prestige And Revenge To Watch Out For
Hemant Soren To Champai Soren — Battles Of Families, Prestige & Revenge In J'khand Polls
Advertisement
ABP Premium

Videos

What will happen in the Maharashtra & Jharkhand Election Result 2024? | ABP NewsDelhi News: 'Rewadi Samvad Abhiyan launched' Cabinet Minister Imran Hussain says he will go amidst the publicBreaking News: Big news related to Maharashtra cash scandal | Vinod Tawde | BJP | Congress | ABP NewsUP Bypolls: Akhilesh gets angry as inspector points a pistol at him, makes a big revelation | ABP News

Photo Gallery

Embed widget