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SpiceJet Shares Surge 9% After Settlement with Genesis

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By Rediff Money Desk, New Delhi   Dec 19, 2024 19:23

SpiceJet shares jumped 9% after the airline reached a settlement with aircraft lessor Genesis, resolving a dispute over USD 16 million. The deal includes a USD 4 million equity stake for Genesis in SpiceJet.
SpiceJet Shares Surge 9% After Settlement with Genesis
Photograph: Amit Dave/Reuters
New Delhi, Dec 19 (PTI) Shares of SpiceJet on Thursday jumped 9 per cent after the firm said aircraft lessor Genesis will acquire a stake worth USD 4 million in the airline as part of settling a more than USD 16 million dispute.

The stock surged 8.97 per cent to close at Rs 61.33 on the BSE. During the day, it soared 10.14 per cent to Rs 61.99.

For the settlement, the airline will also pay USD 6 million to Genesis.

The budget carrier, which recently raised Rs 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 USD 16 million dispute.

"Under the agreement, SpiceJet will pay Genesis USD 6 million and Genesis will acquire USD 4 million in SpiceJet equity at a price of Rs 100 per share," it said.
Source: PTI
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