SpiceJet Raises Rs 3,000 Crore through Overwhelmingly Successful QIP

Domestic airline SpiceJet has successfully raised Rs 3,000 crore through a Qualified Institutional Placement (QIP). The offering, heavily oversubscribed, drew interest from top-tier investors and mutual funds. An additional Rs 736 crore will come from a previous funding round, bolstering SpiceJet's financial stability and growth plans.

Domestic carrier SpiceJet on Monday announced that it has successfully raised Rs 3,000 crore via a Qualified Institutional Placement (QIP), which opened on September 16 and closed on September 18.

The QIP received an overwhelming response from qualified investors, significantly oversubscribing and demonstrating strong confidence in SpiceJet's growth prospects, according to a company statement.

The fundraising effort attracted a diverse pool of top-tier institutional investors and mutual funds, including Goldman Sachs (Singapore), Morgan Stanley Asia, BNP Paribas Financial Markets ODI, Nomura Singapore Ltd ODI, Tata Mutual Fund, and Discovery Global Opportunity Ltd.

In addition to the Rs 3,000 crore raised, SpiceJet will also receive an additional Rs 736 crore from a previous funding round, further strengthening its financial stability and growth plans.

The newly secured capital will be used to operationalize grounded aircraft, acquire new planes, invest in technology, and expand into new markets, as stated by the airline.

Ajay Singh, Chairman and Managing Director of SpiceJet, commented, "The strong response from investors and institutions is a testament to their faith in SpiceJet's potential to rapidly scale and become a formidable player in India's burgeoning aviation market."

With the infusion of this capital, SpiceJet aims to strengthen its operations, enhance its fleet, and expand its network to meet growing passenger demand.

(With inputs from agencies.)