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Aircraft lessor Genesis to buy stake in SpiceJet as part of settling $16 million dispute


SpiceJet recently raised ₹3,000 crore amid financial headwinds. File
| Photo Credit: Reuters

SpiceJet on Thursday (December 19, 2024) said aircraft lessor Genesis will acquire a stake worth $4 million in the airline as part of settling a more than $16 million dispute. For the settlement, the airline will also pay $6 million to Genesis.

The budget carrier, which recently raised ₹3,000 crore amid financial headwinds, has been settling various disputes with lessors and other entities.

Subject to the settlement terms being satisfied, SpiceJet said both parties have agreed to withdraw all ongoing litigations and disputes related to this matter at the appropriate forums.

In a release, the airline said it has reached an amicable settlement with Genesis, resolving their over $16 million dispute.

”Under the agreement, SpiceJet will pay Genesis $6 million and Genesis will acquire $4 million in SpiceJet equity at a price of ₹100 per share,” it said. In September, Carlyle Aviation agreed to convert $30 million of lease arrears into SpiceJet equity at ₹100 per share.

Earlier, the airline had settled disputes with various other lessors, including Horizon Aviation, Engine Lease Finance Corporation, Aircastle, Wilmington Trust SP, Shannon Engine Support Ltd and Export Development Canada. In late morning trade on the Bombay Stock Exchange, SpiceJet shares jumped 7.84% to ₹60.69 apiece.



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