SpiceJet close to cash deal

New Delhi, Jan. 2: Budget carrier SpiceJet has zeroed in on three foreign investors to raise $100-150 million via equity infusion or debt.

Sources said one of the investors might be a foreign airline. However, the company did not give out any name as the negotiations were at a nascent stage.

According to industry insiders, SpiceJet is an ideal candidate for investment by foreign investors. Though there has been speculation that Gulf-based Qatar Airways was in talks with the carrier, it has not been confirmed by the company. The foreign investment deal is likely to be at an enterprise value of $400-450 million.

The airline had earlier indicated that it might go on a major acquisition drive and could place orders worth $2 billion to buy 30-50 Boeing 737 MAX or Airbus 320 NEOs. The list price of the aircraft is around $90 million apiece.


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