SpiceJet: SpiceJet, an airline company providing cheap air services, has informed on Friday 26 January that it has been successful in raising Rs 744 crore in the first round of capital investment. It is worth noting that this fund has been raised through preferential allotment of shares and warrants.
The airline has informed that its board of directors, in a meeting on January 25, had given permission for allotment of 5.55 crore equity shares to a total of 54 subscribers. Along with this, the board of the airlines has also approved the issuance of a total of 9.33 crore equity shares to Elara India Opportunities Fund Limited and Silver Stallion Limited.
Airlines will raise further funds
Airline SpiceJet, which has been facing financial crisis for a long time, is trying to raise funds in different ways. The company is once again trying to raise the next round of funds through warrants and equity. After the company raised funds of Rs 744 crore on Friday, SpiceJet Chairman and MD Ajay Singh said that we are thankful to our investors for keeping faith in us. This fund will help in further expanding the operations of the airline.
SpiceJet facing shortage of funds
SpiceJet has been struggling with cash crunch for a long time and currently only one fleet of the company is operational. Its effect is visible on the timing of airline flights. 45 percent of SpiceJet flights are running late.
If we talk about its financial condition, there has been a big reduction in the loss of the company in the second quarter of the financial year 2023-24 and it has come down to Rs 431.54 crore. The company's loss in the same quarter last year was Rs 837.8 crore. Earlier, the company had achieved a profit of Rs 197.53 crore in the quarter from April to June.
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