Conversion of lessor dues into equity spices up SpiceJet counter at the bourses

Chennai, Aug 2 (SocialNews.XYZ) The shares of SpiceJet on Tuesday got spiced up at the markets as it sought the shareholders nod to issue equity shares to aircraft lessors to convert their $2.81 crore outstanding dues.

The company also sought the shareholders nod for issue of warrants to promoter group company Spice Healthcare Private Ltd.

According to SpiceJet, the shareholders nod is sought to issue about 4.81 crore shares with a face value of Rs10 per share at a price of Rs 48 per share to the aircraft lessors and convert their dues to equity.

The shares are to be allotted on a single tranche on preferential basis to nine lessors of which Carlyle Aviation Partners/affiliated entities being the largest and the others are Citrine Aircraft Leasing Ltd, Fly Aircraft Holdings Seven Ltd, and Fly Aircraft Holdings One Ltd.

The company also has sought the shareholders nod for issue and allot up to 13,15,00,000 warrants, having option to apply for and be allotted equivalent number of equity shares of the face value of Rs 10 each of an aggregate nominal amount of up to Rs 1,31,50,00,000 to Spice Healthcare.

SpiceJet shareholders will also have to decide on the reappointment of Ajay Singh as the Managing Director and CEO at a remuneration of Rs 60 lakh per month as fixed sum and 2.5 per cent of net profit as the variable pay.

At the BSE, the SpiceJet shares opened at Rs 29.31 on Wednesday, the closing price of the previous day. During the day, the scrip touched a high of Rs 32.25 and closed at Rs 31.42.

Source: IANS