SpiceJet, led by Chairman and Managing Director Ajay Singh, and Busy Bee Airways Private Limited, have jointly submitted a bid for GoFirst, the company on Friday announced through an exchange filing.
The company in the regulatory filing said, "The bid, submitted on Friday (February 16, 2024), marks a significant strategic move that has the potential to reshape the landscape of the Indian aviation sector and position SpiceJet for substantial growth in the industry."
The bid has been submitted by Ajay Singh, in his personal capacity, along with Busy Bee Airways Private Limited.
SpiceJet takes center stage as operational partner,
SpiceJet will serve as the operational partner for the new airline, offering essential staff, services, and industry expertise. The collaboration is expected to create synergies between the two carriers, enhancing cost management, driving revenue growth, and fortifying their position in the Indian aviation industry.
Ajay Singh, Chairman and Managing Director, SpiceJet, said, “I firmly believe that GoFirst holds immense potential and can be revitalized to work in close synergy with SpiceJet, benefiting both carriers. Apart from coveted slots at domestic and international airports, international traffic rights, and an order for over 100 Airbus Neo planes, GoFirst is a trusted and valued brand among flyers. I am happy to contribute to the efforts aimed at reviving this popular airline and leveraging its strengths for mutual growth and success."
SpiceJet is currently in the midst of a revival plan, having successfully completed the first tranche of capital infusion amounting to Rs 744 crore, with additional subscriptions pending regulatory approval. The company has also initiated the process to raise an additional Rs 1000 crore. SpiceJet already holds valid shareholder approval to raise up to Rs 2500 crore through QIP, eliminating the need for further shareholder approval, the company said in the regulatory filing.
SpiceJet shares
The shares of SpiceJet on Friday at 3:30 pm IST closed at Rs 70.81, up by 11.28 per cent.
