Board of Directors of low-cost carrier SpiceJet on Tuesday approved raising of Rs. 30 billion through Qualified Institutional Placement. Such avenues are mostly used to raise money from institutional buyers.
The airline is currently going through a severe liquidity crisis on account of reduced fleet size and cascading impact from the pandemic and grounding of its Boeing 737 MAX fleet earlier. SpiceJet, which released its full year financial results after a gap of several months earlier in the month, narrowed down its consolidated loss for 2023-24 (Apr-Mar) to Rs. 4.23 billion against a loss of Rs. 15.13 billionin the previous year. However, revenue from operations declined 20% year-on-year to Rs. 70.85 billion in 2023-24, on account of reduced day-to-day operations.
