SpiceJet (SG, Delhi International) says it hopes to settle a INR1.15 billion rupee (USD13.8 million) claim by GASL Ireland Leasing A 1 Limited, an aircraft leasing special purpose vehicle controlled by Genesis Aircraft Services. Appearing for the carrier at Delhi High Court on July 5, Amit Sibal said a settlement proposal will be made within the next fortnight.
The matter of GASL Ireland Leasing A 1 Limited v. SpiceJet Limited was mentioned before the court last week as part of GASL's long-running attempt to enforce two UK court judgements. The matter relates to a B737-800, then registered as VT-SLI (msn 29670), leased to SpiceJet in May 2017. The aircraft has since exited the SpiceJet fleet. GASL is now seeking an attachment of SpiceJet assets to satisfy the UK court orders and has asked the Indian court to order SpiceJet to supply a list of its assets, including moveable and immovable property.
Sibal told the court that SpiceJet had recently raised INR5 billion (USD60 million) from an equity issue and expected a further INR7 billion (USD83.9 million) shortly. All up, it intends to raise INR20 billion (USD239.6 million) to recapitalise and get operations back on track. Sibal said any asset attachment orders would jeopardise the airline's ability to raise further funds. Delhi High Court adjourned the matter until July 19 to allow SpiceJet to present its settlement proposal.
Meanwhile, engine lessor Shannon Engine Support Limited has commenced insolvency proceedings against SpiceJet in India's specialist bankruptcy court, the National Company Law Tribunal. Court records show Shannon filed its petition on May 31, with the matter next scheduled for mention on August 22. Shannon Engine Support is the world's largest CFM56 and LEAP engine lessor.
