Budget carrier SpiceJet to raise $75 million via share sale

According to SpiceJet chief executive, the budget carrier plans to raise $75 million through a share sale in India or overseas.

Sanjay Aggarwal told Reuters that with the approval received from the board yesterday (for raising funds through ADR, GDR, or QIP) additional options had opened up as earlier only preferential route was being considered. Aggarwal did not give any time frame for the fund raising.

SpiceJet has been approached by not a few investors including Sun TV founder and an entity run by Anil Dhirubhai Ambani Group, according to reports in the media.

Aggarwal added that the company continued to receive proposals from investors, but not decision has been taken so far according to Reuters.

Meanwhile, Wilbur L Ross who made a $80 million investment in the budget carrier is understood to be exploring exit options as per media reports.

The budget carrier ended 2009-10 with a net annual profit of Rs61.4 crore as against a loss of Rs352.5 crore during 2008-09. This is the first year the company has reported profits since it launched in 2005.