The policy climate for the Indian Aviation sector couldn’t be better than it is now. While the government should be lauded for the quick policy action to save the third airline from closing, there are many questions that needs to be answered by the regulator – SEBI, which has been watching the whole episode from the sidelines. It is a known fact that SpiceJet has been looking for a White Knight for some time - foreign airlines to PE players were in talks to infuse equity into the ailing airline. Unlike other businessmen, the Maran may have been smart enough to realize that when losses mount and it is difficult to recoup losses, it is better to cut your losses. And that's what they have done; they have transferred the ownership and control to Ajay Singh and possibly to a consortium of investors. SpiceJet released a statement post the January 15 board meeting which stated: “SpiceJet Ltd has informed BSE that the Board of Directors of the Company at its meeting held on January 15, 2015, inter-alia, has taken on record the proposal of the principal shareholder and Promoter, Mr. Kalanithi Maran and KAL Airways Private Limited to transfer the ownership, management and control of the Company to Mr. Ajay Singh pursuant to a ‘Scheme of Reconstruction and Revival for the takeover of ownership, management and control of SpiceJet Limited’ to be filed before the Competent Authority, the Ministry of Civil Aviation, Government of India.
30/01/15 Sajeet Manghat/CNBC-TV18/moneycontrol
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30/01/15 Sajeet Manghat/CNBC-TV18/moneycontrol
