SpiceJet in talks to raise $200 million to ease financial woes

SpiceJet Ltd said it’s in talks with bankers to raise as much as $200 million (Rs 1,591 crore) in fresh capital after reporting a worse than expected quarterly loss, as the Indian airline looks to work a way out of financial distress.

The carrier plans to also spin off its cargo business into a separate company, SpiceXpress, by the end of next month and add more freighters in the fiscal year 2023, Chairman Ajay Singh said in the filing Wednesday.

SpiceJet Chief Financial Officer Sanjeev Taneja, who took charge in 2020, resigned effective immediately with the airline deep in crisis. The board has identified a replacement, who will take over in September.