Comments
Shares of SpiceJet today jumped over 8 per cent following reports that the company is in active discussions with Singapore-based budget carrier Tigerair for a possible stake sale.
Reacting to this, shares of the company made a bullish opening on BSE and further surged 8.1 per cent to Rs 27.35.
On the volume front, 21.41 lakh shares of the company changed hands on BSE.
No-frills carrier SpiceJet is in active discussions with Singapore-based budget carrier Tigerair for a possible stake sale even as they are set to sign a code share agreement soon, sources said.
According to sources, SpiceJet promoter and media baron Kalanithi Maran may off-load up to 24 per cent to Tigerair as the airline faces fall in profits and attempts to retire debt, the sources familiar with the development said.
The Chennai-based airline reported a 10 per cent fall in its net profit in the June quarter.
“SpiceJet and Tigerair have already held two rounds of talks for a possible equity deal as promoter Maran is looking for the FDI route for further funds infusion,” sources said.
The discussions between the two on code-share are at the concluding stage and an announcement to this effect may come in any time now, according to sources.
Code share is a commercial agreement between two airlines transferring seats among themselves from one destination to another.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.