ACTION PUNJAB NEWS Desk: SpiceJet promoter Ajay Singh, along with Busy Bee Airways Pvt Ltd, has submitted a bid to acquire the troubled carrier Go First, marking a significant strategic move in the Indian aviation sector. The bid, filed recently, underscores the potential to reshape the industry landscape.
Ajay Singh submitted the bid in his personal capacity. Under the proposal, SpiceJet will act as the operating partner for the new airline, providing staff, services, and industry expertise. Leveraging established infrastructure and operational capabilities, the alliance aims for substantial revenue expansion.
Ajay Singh emphasised the immense potential of Go First, stating that strategic alignment of flight schedules and destinations with SpiceJet could capture a larger market share.
Earlier announcements regarding the potential acquisition had positively impacted SpiceJet shares, reflecting investor optimism. Today’s news similarly boosted SpiceJet shares by over 11% at 3.50 PM.
Also Read: Congress receives relief as ‘frozen’ bank accounts are reactivated
Also Read: Modi’s visit to Rewari emphasises Gurugram metro project and AIIMS development
This development comes amidst SpiceJet’s ongoing efforts to streamline operations, including workforce reduction measures aiming to lay off 1,400 staff. While SpiceJet has embarked on a refinancing plan to raise capital, Go First’s bankruptcy filing in May last year has led to uncertainties regarding its future, with liquidation being considered by lenders after failing to attract new investors.
The troubled carrier’s bankruptcy filing lists Central Bank of India, Bank of Baroda, IDBI Bank, and Deutsche Bank among its creditors. Despite these challenges, the bid from SpiceJet and Busy Bee Airways signals a potential revitalization for Go First, marking a significant development in the aviation industry landscape.
Also Read: Manipur Violence: Protest over sacking of Manipur ‘selfie’ cop leads to 2 deaths, 25 injuries
Also Read: NHAI excludes Paytm from FASTag bank list
(Inputs from agencies)
