SpiceJet settles Rs 93 crore dispute with lessor

economictimes.indiatimes.com:

SpiceJet on Tuesday said that it has settled Rs 93-crore dispute with one of its aircraft lessor Cross Ocean Partners.
SpiceJet said that as part of the arrangement, the airline will also benefit from transfer of airframe and an engine at no additional cost, augmenting its operational capabilities.
The carrier last week said that it has mutually settled a Rs 250 crore dispute with another lessor Celestial Aviation.

«The parties made this joint announcement before the Delhi High Court in the ongoing execution petition being pursued by Cross Ocean Partners. The settlement is expected to result in significant savings for SpiceJet and also put an end to dispute, » the airline said.
Ajay Singh, Chairman & MD of SpiceJet said that the settlement reinforces the company's commitment to effectively settle with its partners and strengthen our operational capabilities.

Multiple lessors and vendors of the airline have moved court and some have filed insolvency cases against the airline due to default on payment despite multiple warnings.
As a part of settling disputes with lessors, the airline had reached out to multiple lessors to recast their debt into equity in the airline.

However, till now, only Carlyle Aviation Partners, which had the highest exposure to the airline, has agreed to acquire a 5.91% stake against the lease arrears.

The airline's shares rose by 2.5% after the announcement and is currently trading at Rs 64.25 on BSE.