SpiceJet Limited has reached a key settlement agreement with Carlyle Aviation Partners, unlocking a total liquidity support of $89.5 million. This includes $79.6 million in cash maintenance reserves and $9.9 million in credits towards future lease obligations. The transaction marks a significant step in the airline’s financial restructuring and improves its long-term capital efficiency.
The agreement is part of a broader settlement with Carlyle Aviation Partners and affiliates involving lease obligation restructuring worth $121.18 million. As part of the deal, equity shares aggregating to $50 million will be issued. If Carlyle realises proceeds above $50 million from the share sale, the excess amount will be used to offset future lease dues, thereby offering potential downstream benefit to the airline’s balance sheet.
Under the agreed terms, the promoter or its designated assignee will retain the option to purchase the equity shares post the statutory lock-in period, along with any additional lock-in agreed between the parties. This flexibility adds value to the promoter’s strategic control, while ensuring alignment of stakeholder interests.
Read More: SpiceJet Clears $24 Million Debt to Credit Suisse, Strengthens Financial Position!
Ajay Singh, Chairman & Managing Director of SpiceJet, remarked that the agreement represents a major milestone in the airline’s revival journey. He noted that Carlyle’s support signals strong investor confidence, while the transaction reduces liabilities, enhances liquidity, and positions the airline for sustainable growth.
SpiceJet is a leading Indian airline operating a mixed fleet of Boeing 737s and Q-400s. Known for its affordability and regional connectivity, it plays a vital role in the UDAN scheme. The airline also offers SpiceMax seating, India’s most spacious economy-class option.
On September 11, 2025, SpiceJet share price opened at ₹33.49 on BSE, above the previous close of ₹33.06. During the day, it surged to ₹34.85 and dipped to ₹33.00. The stock is trading at ₹33.76 as of 10:37 AM. The stock registered a significant gain of 2.12%.
Over the past week, it has declined by 2.00%, over the past month, it has declined by 1.77%, and over the past 3 months, it has declined by 25.79%.
The $89.5 million liquidity infusion through Carlyle’s settlement not only strengthens SpiceJet’s cash position but also helps unlock operational and strategic flexibility. It is a forward-looking step in the airline’s larger restructuring efforts, ensuring improved stability and investor confidence going forward.
Disclaimer: This blog has been written exclusively for educational purposes. The securities or companies mentioned are only examples and not recommendations. This does not constitute a personal recommendation or investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
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Published on: Sep 11, 2025, 2:46 PM IST
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