SpiceJet secures Rs 9+ bn funding for fleet upgrade & cost efficiency

31 Jan 2024 CW Team

The carrier, grappling with various challenges in recent months, has obtained around Rs 10 billion under the ECLGS. The most recent installment was injected after the Chairman and Managing Director, Ajay Singh, infused funds into the airline, according to an informed official.

Ajay Singh, who leads the no-frills carrier, has contributed Rs 2 billion out of the Rs 5 billion fund infusion he declared last year. The official mentioned that the airline has accumulated a total of more than Rs 11 billion in funds within three months.

Last week, the airline disclosed the reception of the initial tranche of Rs 7.44 billion as part of the total Rs 22.50 billion raised through the issuance of securities on a preferential basis. On December 12, the airline had announced its intention to raise fresh capital of Rs 22.50 billion through the issuance of securities.

During a meeting with the airline's senior officials, Singh stressed the significance of prudent spending and affirmed his personal oversight of all major expenditures. According to the note, the carrier will prioritise fleet upgrades, improve on-time performance, and implement cost-cutting measures to streamline operations. Currently, the airline operates with an operational fleet of approximately 40 planes.

SpiceJet, expressing interest in bidding for bankrupt Go First, plans to raise additional funds to strengthen its financial position as part of its revival strategy. Alongside, the airline issued a stringent directive of 'perform or perish' to address underperformance. In 2023, the carrier served 83.90 lakh passengers and held a domestic market share of 5.5 percent.

The airline, beset by various challenges, including legal issues, faced a fine of Rs 3 million from the aviation regulator DGCA earlier this month for lapses in rostering pilots for operations in low visibility conditions.

SpiceJet announced that it would concentrate on upgrading its fleet and implementing cost-cutting measures, following the receipt of over Rs 9 billion in funding this month. The no-frills airline, aiming to overcome challenging times, highlighted its substantial bank balance, now exceeding Rs 9 billion, which includes Rs 1.6 billion received through the government's Emergency Credit Line Guarantee Scheme (ECLGS). The carrier, grappling with various challenges in recent months, has obtained around Rs 10 billion under the ECLGS. The most recent installment was injected after the Chairman and Managing Director, Ajay Singh, infused funds into the airline, according to an informed official. Ajay Singh, who leads the no-frills carrier, has contributed Rs 2 billion out of the Rs 5 billion fund infusion he declared last year. The official mentioned that the airline has accumulated a total of more than Rs 11 billion in funds within three months. Last week, the airline disclosed the reception of the initial tranche of Rs 7.44 billion as part of the total Rs 22.50 billion raised through the issuance of securities on a preferential basis. On December 12, the airline had announced its intention to raise fresh capital of Rs 22.50 billion through the issuance of securities. During a meeting with the airline's senior officials, Singh stressed the significance of prudent spending and affirmed his personal oversight of all major expenditures. According to the note, the carrier will prioritise fleet upgrades, improve on-time performance, and implement cost-cutting measures to streamline operations. Currently, the airline operates with an operational fleet of approximately 40 planes. SpiceJet, expressing interest in bidding for bankrupt Go First, plans to raise additional funds to strengthen its financial position as part of its revival strategy. Alongside, the airline issued a stringent directive of 'perform or perish' to address underperformance. In 2023, the carrier served 83.90 lakh passengers and held a domestic market share of 5.5 percent. The airline, beset by various challenges, including legal issues, faced a fine of Rs 3 million from the aviation regulator DGCA earlier this month for lapses in rostering pilots for operations in low visibility conditions.

Infrastructure Transport

13 Oct 2025

Tata, Airbus to Build India’s First Private Helicopter Line

In a landmark development for India’s aerospace sector, Tata Advanced Systems Limited (TASL) and Airbus will establish the country’s first private-sector helicopter assembly line in Vemagal, Karnataka. The facility will manufacture the Airbus H125 and H125M, marking a significant milestone in India’s push for self-reliance in aviation and defence manufacturing. The new Final Assembly Line (FAL) will produce the H125, the world’s best-selling single-engine helicopter, known for its versatility and performance in extreme environments. The first ‘Made in India’ H125 is expected to ro..

Infrastructure Urban

13 Oct 2025

NeGD to Support Bharat Taxi in Building Cooperative Ride Platform

In a significant move for India’s digital and mobility transformation, the National e-Governance Division (NeGD) of the Digital India Corporation, under the Ministry of Electronics and Information Technology (MeitY), has entered into an advisory partnership with Sahakar Taxi Cooperative Limited, the company behind Bharat Taxi — a first-of-its-kind, cooperative-led national ride-hailing platform. A Memorandum of Understanding (MoU) has been signed between NeGD and Sahakar Taxi to provide strategic advisory and technical support covering key areas such as platform integration, cybersecurity..

Technology

13 Oct 2025

MeitY Hosts Pre-Summit for India–AI Impact Summit 2026

The Ministry of Electronics and Information Technology (MeitY), Government of India, hosted a series of Pre-Summit events for the upcoming India–AI Impact Summit 2026 at the India Mobile Congress (IMC) 2025 in New Delhi. These sessions mark a key milestone ahead of the main summit, scheduled for 19–20 February 2026 at Bharat Mandapam, New Delhi. Delivering the inaugural address, S. Krishnan, Secretary, MeitY, highlighted India’s innovative and frugal approach to AI development. “We have adopted innovative means by learning from others’ experiences to build projects and products that..