SpiceJet and AerCap settle ₹250-crore dispute

SpiceJet Ltd. and Celestial Aviation, a subsidiary of AerCap, reached a settlement to settle their $29.9 million (₹250 crore) dispute through amicable negotiations, avoiding litigation. 

The resolution of this dispute was confirmed by representatives of both parties to a Bench of the National Company Law Tribunal (NCLT) last week, per the company. The Bench granted an adjournment, and the matter is scheduled to be formally withdrawn on March 01, 2024.

SpiceJet recently secured investments totalling ₹1,060 crore through a preferential issue, with investors including Aries Opportunities Fund Limited and Elara India Opportunities Fund Limited. Part of these funds will be allocated towards settling past liabilities, including the dispute with Celestial Aviation.

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Ajay Singh, Chairman and Managing Director of SpiceJet, said, “I am pleased to announce that SpiceJet and Celestial Aviation have successfully resolved our $29.9 million dispute through mutual agreement. This settlement marks a significant step forward for both parties and underscores our commitment to finding amicable solutions to complex challenges. With this resolution, we can now focus on revamping our fleet and driving our business forward. I am grateful for the support of our stakeholders, including our investors, as we navigate through this process.”

The shares of SpiceJet were down by 2.48 per cent to ₹64.58 at 3.17 p.m. on the BSE.