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This just in. After weeks of hectic negotiations, Indian low cost carrier SpiceJet has raised Rs 345 crore or $80 million from private equity fund Wilbur Ross & Co. In a statement issued to stock exchange, SpiceJet, India’s second largest budget airline with about 10 per cent market share, has said that the board of the company has approved the offer from WL Ross to invest the said amount. The other terms of the deal are not disclosed.

Bhulo Kansagra and Ajay Singh, the board members of SpiceJet, welcomed WL Ross as an investor in the company.

Wilbur L Ross Jr, Chairman and CEO, WL Ross & Co, said: “We believe in the long term viability of the low cost airline model in India and the fuel prices eventually will stabilise.” Ross and Ranjeet Nabha, MD and CEO of WL Ross India, will join the board of directors of SpiceJet.

This is the second investment of WL Ross in India. In February 2007, Ross acquired OCM India Ltd, a worsted suiting maker, for around $37 million.

NM Rothschild & Sons India Pvt Ltd acted as the exclusive financial advisor to SpiceJet Ltd.

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