SpiceJet yet to receive approval from lenders for hiving off cargo unit

Even as Ajay Singh plans to hive off SpiceJet’s cargo business SpiceXperess by August, it is yet to receive approvals from its lenders. SpiceJet applied for the No Objection Certificate (NOC) over six months ago. However, sources said lenders do not seem to have clarity on the hive-off. “We have not been given any clarity yet. We do not see the hive off being completed by August,” said a banking source.

According to multiple sources, SpiceJet has received conditional approval only from YES Bank; however, it has not received approval from any of its other lenders. 

13/07/22 Business Line

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Mighty Airbus Beluga 'Whale' cargo plane lands at Chennai Airport for the first time

The mighty Airbus Beluga cargo plane, also fondly called 'the whale' recently landed at the Chennai International Airport for the first time. The Beluga No.2 (A300-608ST) landed at Chennai Airport on July 11, Monday. The cargo transporter is a rare visitor in this part of the world and a marvel to behold, thanks to its unique design, that makes it stand out of regular cargo planes. 

One of the world's largest aircraft, only 5 units of the Airbus Beluga are ever built and the unit number 2 visited the Chennai Airport. The Airbus A300-600ST Beluga registered as F-GSTB flew in from Ahmedabad to Chennai.

A giant Airbus Beluga cargo plane made a stopover at Chennai Airport for refuelling and departed at 1.25 AM on Tuesday, July 12.

The Airbus Beluga aircraft is the cargo version of the Airbus 300-600 and has a maximum take off weight capacity of 1,55,000 kg, with a shape inspired from Whale to carry large cargo and heavy machinery across the world. 

12/07/22 Zee News

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SpiceXpress to be hived off from SpiceJet by August first week

New Delhi: Banks and shareholders have given their approval to hive off cargo and logistics company SpiceXpress from SpiceJet airline and the bifurcation will be done by the first week of August, the carrier’s CMD Ajay Singh has said.

SpiceJet had on August 17 last year announced it was transferring its cargo and logistics services on a slump sale basis to its subsidiary SpiceXpress as it will allow the company to raise funds independent of the budget carrier and rapidly grow.

SpiceJet is under the regulatory scanner right now. Just five days ago, the airline was issued a show-cause notice by the Directorate General of Civil Aviation (DGCA) after its aircraft were hit by at least eight incidents of technical malfunction since June 19.

The DGCA — while stating that the budget carrier has “failed” to establish safe, efficient and reliable air services — gave it three weeks’ time to respond to the notice.

The airline has been making losses for the last four years. It incurred net losses of Rs 316 crore, Rs 934 crore and Rs 998 crore in 2018-19, 2019-20 and 2020-21, respectively.

In April-December period of 2021, the airline posted a net loss of Rs 1,248 crore.

However, the revenue from SpiceXpress has been increasing. In October to December period of 2021, SpiceXpress saw its revenue jump 17 per cent on a quarter-on-quarter basis to Rs 584 crore.

While talking to PTI last week, Singh said: “We have got the shareholders’ approval for that (hiving off SpiceXpress from SpiceJet). We have got the approval from our banks to do that. I think in the last phase... we should be done by the first week of next month.”

“It will be a separate company called SpiceXpress. It will be owned by SpiceJet but it will be a separate company,” he added.

While announcing the plan to hive off SpiceXpress on August 17 last year, the airline had said the logistics business has been valued at Rs 2,555.77 crore based on an independent valuation exercise carried out by the company and “the purchase consideration for the same shall be discharged by SpiceXpress by issuance of shares of SpiceXpress to SpiceJet, subject to all approvals as may be required”.

SpiceXpress has a network which spans over 68 domestic and over 110 international cities, including those in the US, Europe and Africa.

11/07/22 PTI/Telegraph

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The elegant whale is here! Airbus Beluga cargo plane lands at Chennai airport for first time

Chennai: A giant Airbus Beluga cargo plane (A300-608ST) made a brief stopover at Chennai airport on Monday for refuelling. This is the first time that the aircraft is touching down at the airport.

The Airports Authority of India (AAI) tweeted that "The elegant whale is here and with such awesomeness! The mighty #Beluga No.2 (A300-608ST) landed at Chennai airport for the first time, today. The cargo transporter is a rare visitor in this part of the world and a marvel to behold."

The aircraft, which is not carrying cargo, is on its way to Thailand, said an AAI official. Known as super transporter, the aircraft is a version of wide body A300-600 aircraft of the Airbus and is usually used to carry aircraft or machine parts and huge cargo.

11/07/22 V Ayyappan/Times of India

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3rd SpiceJet Incident Yesterday: Cargo Plane's Weather Radar Failed

New Delhi: A SpiceJet cargo plane flying to China yesterday had to come back to Kolkata for a fix after its weather radar developed a snag, sources said. After repairs, the plane — from the airline's freight unit SpiceXpress — took off again for Chongqing, it is learnt.

For SpiceJet, this was one of three incidents related to malfunctions in a day. None of these was a flight risk or emergency as such, though the pilots took precautionary measures. Counting these in, the private carrier has seen eight reported incidents of malfunctions in the last three weeks -- none caused serious harm to crew or passengers.

As the regulator issued a show-cause notice to the airline, Civil Aviation Minister Jyotiraditya Scindia asserted that passenger safety was paramount. The airline has reacted saying "no aircraft will ever fly unless it is 100 per cent safe". 

In the first reported incident yesterday, a flight from Delhi to Dubai had to make an unscheduled landing at the airport in Karachi, Pakistan, after its fuel indicator malfunctioned and showed rapid depletion. Pilots suspected a fuel leak and opted to make a landing to be safe. The 138 passengers had to wait for nearly 11 hours at Karachi before an alternate flight sent from India took them to the UAE.

Also yesterday, a SpiceJet flight from Kandla (Gujarat) to Mumbai had to make a priority landing at its destination after its outer windshield developed a crack mid-air. A flight is given priority in landing if it can't wait its turn. 

The other incidents over the past three weeks — all of which have been brought to the attention of the aviation regulator — include two-door warnings, a bird hit, oil leakage from an engine, and a pressurisation problem.

"We are concerned over passengers' safety. A team has been formed to investigate all the incidents thoroughly and submit the report at the earliest," a senior official of the Directorate General Of Civil Aviation (DGCA) has said.

06/07/22 NDTV

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