Dubai: SpiceJet is in talks with Boeing and Airbus to buy more than 150 planes, the airline’s chairman said on Sunday, predicting he would decide which manufacturer to place the order with by the end of March 2016.
Such an investment would cap a remarkable turnaround for India’s second-biggest budget airline by market share, which came close to collapse late last year, after running out of cash.
SpiceJet co-founder Ajay Singh subsequently bought back into the airline, acquiring a controlling stake. SpiceJet has reported profits in the past three quarters, having made losses in the five preceding quarters.
Singh now wants to more than quadruple the carrier’s fleet from 41 aircraft at present.
“We are in the process of placing a large aircraft order; the airline will order in excess of 150 planes — we hope to do that in this financial year,” Singh, who is SpiceJet’s chairman and managing director, told a news conference here. Its financial year will end in March.
“We’re looking at both Airbus and Boeing. The (Boeing 737) Max aircraft as well as the (Airbus A320) Neo. We have received offers from both of them,” Singh said.
He said the order would be with a single manufacturer, declining to estimate the likely value of the deal because negotiations were ongoing.
30/11/15 Reuters/Deccan Herald
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Such an investment would cap a remarkable turnaround for India’s second-biggest budget airline by market share, which came close to collapse late last year, after running out of cash.
SpiceJet co-founder Ajay Singh subsequently bought back into the airline, acquiring a controlling stake. SpiceJet has reported profits in the past three quarters, having made losses in the five preceding quarters.
Singh now wants to more than quadruple the carrier’s fleet from 41 aircraft at present.
“We are in the process of placing a large aircraft order; the airline will order in excess of 150 planes — we hope to do that in this financial year,” Singh, who is SpiceJet’s chairman and managing director, told a news conference here. Its financial year will end in March.
“We’re looking at both Airbus and Boeing. The (Boeing 737) Max aircraft as well as the (Airbus A320) Neo. We have received offers from both of them,” Singh said.
He said the order would be with a single manufacturer, declining to estimate the likely value of the deal because negotiations were ongoing.
30/11/15 Reuters/Deccan Herald
