SpiceJet Ltd on Monday said it has hived off its cargo and logistics business SpiceXpress into a separate entity — SpiceXpress and Logistics Pvt Ltd, from April 1.
The move results in a one-time gain of Rs 2,555.77 crore for SpiceJet, substantially reducing its negative net worth, the company said.
It also paves the way for SpiceXpress to raise funds independently, SpiceJet said.
The decision to hive off SpiceXpress is in sync with the company’s long-term business plan and will unlock significant valuation of the logistic business, SpiceJet Ltd Chairman Ajay Singh said.
