Several members of SpiceJet's commercial team, including Chief Commercial Officer resign: Spokesperson
Mar 12, 2024
New Delhi [India], March 12 : Several members of SpiceJet's commercial team, including the Chief Commercial Officer, have left the airline since it announced strategic restructuring, an airline spokesperson said.
"As part of SpiceJet's strategic restructuring, several members of the commercial team including the Chief Commercial Officer have left the company," the SpiceJet spokesperson added.
The spokesperson, in a brief statement on Tuesday, said the company continues to see significant growth in revenue and load factors.
"With the recent fund raise, SpiceJet has speeded up the process of resolution of all past disputes. The Company looks forward to adding capacity, growing rapidly and continuing to play a large role in the Indian aviation sector," the spokesperson's statement added.
SpiceJet recently secured investments totaling Rs 1,060 crore through a preferential issue, with notable investors including Aries Opportunities Fund Limited and Elara India Opportunities Fund Limited. Part of these funds will be allocated towards settling past liabilities.
The airline reportedly plans a Rs 22.50 billion fundraising effort by selling shares and warrants.
SpiceJet, which has been facing multiple headwinds, is of the view that the raised funds are expected to play a pivotal role in financing operational expansion initiatives, including fleet enhancement, route network expansion, and technological advancements.
In its latest move, aiming to save about Rs 100 crore on an annual basis, low-cost airline SpiceJet is set to lay off at least 1,000 employees.
On February 13, a spokesperson of the airline SpiceJet confirmed that the manpower rationalisation was part of its cost-cutting strategy, besides ensuring profitable growth.
The airline, which was launched in 2005, currently has about 9,000 employees and 30 planes, 10 of which are wet-leased. In the pre-pandemic year 2019, the airline had a fleet of 118 planes and more than 15,000 employees.
Meanwhile, the airline reduced its net loss to Rs 428 crore in Q2 FY2024, a significant improvement from the net loss of Rs 835 crore in Q2 FY2023.SpiceJet operates about 250 daily flights to 48 destinations within India and to international destinations.
Its fleet is a mix of aircraft, including the Boeing 737 Max, Boeing 700 and Q400s.
