SpiceJet CEO calls it quits

Mumbai: Siddhant Sharma, chief executive officer of Delhi-based SpiceJet, has put in his papers even as the budget carrier is struggling to stay afloat.
Sharma has been with the airline since its inception in 2005. SpiceJet was positioned as a budget airline after a group of shareholders bought S K Modi-run Modiluft and renamed the airline.
His resignation comes at a time when the cash-strapped airline is looking at various ways to get in fresh investment. The airline will either look at a merger with Kingfisher Airlines, which is promoted by liquor baron Vijay Mallya, or a possible infusion from US distress fund Wilbur Ross, which is willing to pump in money.
When contacted Sharma refused to comment.
According to sources, however, Sharma would have stayed on if the company had deeper pockets. Sharma has been in various posts in the airline and was even the chairman at one time before getting into the day-to-day running of the airline. The resignation has apparently been accepted by the board of directors according to sources. The board has asked him to continue till the end of this month to which Sharma has reportedly agreed to.
It is also not clear whether Sharma will be joining any other airline.
Meanwhile, the board of directors will be meeting to finalise the funding or a possible merger for the airline sometime next week.
12/07/08 Manisha Singhal/Business Standard

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Categories: SpiceJet Jul 2008