SpiceJet has reached a major financial milestone by settling its $131.85 million dispute with lessors managed by Babcock & Brown Aircraft Management (BBAM) for $22.5 million. This settlement is a crucial step in reducing the airline’s liabilities and improving its balance sheet, positioning SpiceJet for future growth and operational efficiency. This marks one of SpiceJet’s largest financial settlements, adding momentum to the airline’s efforts to strengthen its financial foundation.
The settlement comes shortly after the resolution of a $16.7 million dispute with Engine Lease Finance Corporation and follows SpiceJet’s recent successful Qualified Institutional Placement (QIP) of INR 3,000 crore. These actions demonstrate the airline’s commitment to resolving financial challenges and preparing for growth by ungrounding its fleet and expanding services.
Ajay Singh, Chairman and Managing Director of SpiceJet, commented, “This landmark settlement with BBAM allows us to significantly reduce our liabilities and reinforces our efforts to emerge as a stronger airline. With a stronger financial position, we are well-prepared to focus on growth and delivering better service to our passengers.”
With its financial health restored, SpiceJet is set to enhance operational capabilities, improve connectivity, and offer a seamless flying experience to passengers across India and beyond.
