At meeting held on 27 February 2023
The Board of SpiceJet at its meeting held on 27 February 2023 has approved to enter into a business transfer agreement with subsidiary SpiceXpress and Logistics (SXPL) for transfer of its cargo business undertaking as a going concern on slump sale basis. Accordingly, cargo business shall be exclusively undertaken by SXPL effective 01 April 2023.The consideration for said transfer of cargo business undertaking shall be discharged by SXPL by issuance of securities in the combination of equity shares and compulsorily convertible debentures (CCDs) to the company for an aggregate amount of Rs.2,555.77 crore.
As a part of ongoing restructuring with aircraft lessors Carlyle Aviation Partner (or its affiliated entities) and other aircraft lessors, all these CCDs will be transferred to those aircraft lessors who agree to exchange their lease liabilities for an aggregate amount equivalent to total nominal value of such CCDs in accordance with the relevant provisions of applicable laws and receipt of applicable regulatory approvals, as may be required.
This restructuring will substantially reduce the existing liabilities of the company and will help in fund raising for the business operations of the company.
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