SpiceJet share price jumps 4% after this declaration before Delhi High Court
- SpiceJet share price today opened at ₹62.90 apiece on NSE and went on to touch an intraday high of ₹65 per share
Stock market today: SpiceJet share price today witnessed buying interest as the aviation company has declared to have settled ₹93 crore dispute with the aircraft leasing company Cross Ocean Partners. Both the companies made a joint announcement before the Delhi High Court on Tuesday. The joint declaration was made by both parties before the Delhi High Court in the ongoing execution petition being pursued by Cross Ocean Partners.
SpiceJet share price today opened upside at ₹62.90 apiece on NSE and went on to touch an intraday high of ₹65 per share within a few minutes after the aviation company shared the dispute settlement news with the Indian stock market exchanges. while climbing to this intraday high, the aviation stock surged to the tune of 4 percent against its previous close of ₹62.58 apiece on NSE.
Why SpiceJet shares are rising today?
As per the latest exchange filing by SpiceJet, "The settlement is expected to result in significant savings for SpiceJet and also put an end to the dispute. As part of the arrangement, the airline will also benefit from the transfer of an airframe and an engine at no additional cost, augmenting its operational capabilities."
Speaking on the ₹93 crore dispute settlement with the aircraft leasing company, Ajay Singh, Chairman, and Managing Director of SpiceJet, said, “We are pleased to have reached a mutually acceptable resolution with Cross Ocean Partners, which will result in significant cost savings for SpiceJet and also cease prolonged expensive litigation. This settlement reinforces our commitment to effectively settle with our partners and strengthen our operational capabilities. We remain focused on sustaining the positive momentum and creating long-term value for our stakeholders."
Other triggers for SpiceJet shares
In addition to this settlement, SpiceJet recently concluded a similar agreement with Celestial Aviation, a subsidiary of AerCap, one of the largest aircraft lessor groups. The settlement, valued at $29.9 million (INR 250 Crore), further underscores SpiceJet's dedication to resolving disputes and strengthening its financial position.
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