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Wednesday, July 18, 2018

SpiceJet board okays R1,500 cr share sale, Marans off the board

SpiceJet's board also decided to allot up to 3.75 million preference shares to Kalanithi Maran or one of his group firms.

By: ENS Economic Bureau | New Delhi | Updated: January 31, 2015 1:24:11 am
spicejet_759 SpiceJet has been struggling to pay its bills due to a cash crunch and had briefly grounded planes in December. (Source: Express archives)

SpiceJet on Friday said three Sun Group representatives on the board have resigned to make way for the new promoters led by co-founder Ajay Singh.

“Kalanithi Maran, Kavery Kalanithi and S Natrajhen have resigned from the board … with immediate effect and the board has accepted the same,” the airline said.

The move comes on the heels of the board on Friday approving the sale of shares valued up to Rs 1,500 crore in the company, following a deal between its current majority owner and a co-founder. SpiceJet’s former promoter Ajay Singh earlier this month agreed to buy a controlling stake from Kalanithi Maran’s Sun Group in a bid to revive the loss-making airline.

SpiceJet said that its board had decided to increase the authorised share capital to Rs 2,000 crore — comprising 1.5 billion equity shares of 10 rupees each and 5 million non-convertible redeemable preference shares of Rs 1,000 each.

SpiceJet’s board also decided to allot up to 3.75 million shares to Kalanithi Maran or one of his group firms.

 

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