Low-cost airline SpiceJet has paid off all its Goods and Services Tax (GST) dues just days after clearing salary arrears for its employees. This follows the airline’s successful fundraising of ₹3,000 crore through a Qualified Institutional Placement (QIP).
The QIP saw strong interest from major institutional investors like Goldman Sachs (Singapore), Morgan Stanley Asia, Tata Mutual Fund, and Discovery Global Opportunity Ltd.
“We are pleased to clear all GST dues, which shows our commitment to financial discipline and compliance,” said Ajay Singh, Chairman and Managing Director of SpiceJet. “These actions demonstrate our dedication to providing great service to passengers while securing our future.”
SpiceJet had earlier disclosed it hadn’t paid ₹220 crore in tax deducted at source (TDS) from employees’ salaries between April 2020 and August 2023.
On September 24, the airline also settled its dispute with Engine Lease Finance Corporation (ELFC), reducing a previous $16.7 million claim to an undisclosed lower amount. However, SpiceJet’s market share has been falling, dropping from 5.6% in January to just 2.3% in August, according to DGCA data. In 2021, the airline had a much larger market share of 10.5%.
As of 10:30 a.m., SpiceJet shares were up 0.66%, while benchmark indices showed a slight gain of 0.12%.
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