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SpiceJet achieves a landmark settlement with BBAM

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Last Updated : Oct 09 2024 | 10:16 AM IST

SpiceJet has achieved a significant financial milestone with the amicable settlement of its dispute with its the lessors, Horizon Aviation 1, Horizon II Aviation 3, and Horizon III Aviation 2, which are the lessors under the management of Babcock & Brown Aircraft Management (BBAM). The dispute, valued in aggregate at $131.85 million (approximately ₹1,107 crore) with aforesaid lessors has been resolved for $22.5 million.

This settlement represents one of the largest financial agreements reached by SpiceJet, marking a substantial step towards strengthening the airline's balance sheet and reducing its overall liabilities. By resolving this major dispute, SpiceJet has cleared a significant hurdle, paving the way for improved financial stability and operational efficiency.

This settlement comes on the heels of SpiceJet's successful resolution of a dispute with Engine Lease Finance Corporation (ELFC) on September 24, which had claimed $16.7 million. These two major settlements demonstrate SpiceJet's commitment to resolving financial matters and ensuring a stronger financial foundation for the airline's future.

This settlement follows SpiceJet's successful Qualified Institutional Placement (QIP) that concluded on September 20, which raised Rs 3,000 crore. The QIP garnered overwhelming interest from a diverse group of top-tier institutional investors and funds

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First Published: Oct 09 2024 | 9:58 AM IST

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