SpiceJet CMD Ajay Singh partners with Easy Trip founder Nishant Pitti to bid for Go First

Two Indian aviation and travel players have come together in a bid to takeover the floundering Go First airline.

Go First, which stopped flying on May 3, 2023, amid financial woes mainly triggered by Pratt & Whitney engine issues, is undergoing an insolvency resolution process.

SpiceJet's CMD Ajay Singh and Busy Bee Airways, which is largely owned by EaseMyTrip CEO Nishant Pitti, have submitted a joint bid for Go First airlines on Friday, February 16.

SpiceJet would be the operating partner for the new airline, providing essential services, staff and industry expertise. "By strategically aligning their flight schedules and destinations, SpiceJet and the new airline can capture a larger share of the market and cater to diverse passenger needs effectively," SpiceJet had said in a stock exchange filing on Friday, February 16.

Also, Sharjah-based aviation company Sky One Airways has submitted the second bid for the Go First.

On another note, the National Company Law Tribunal on February 13 extended the deadline for another 60 days to complete the resolution process of Go First. A two-member bench of the Delhi-based NCLT admitted the plea filed by the resolution professional (RP) of Go First seeking an extension of the timeline to complete the corporate insolvency resolution process (CIRP).

SpiceJet is currently in the midst of a revival plan, having completed the first tranche of capital infusion amounting to ₹744 crore, with additional subscriptions pending regulatory approval.

The company has also initiated the process to raise an additional ₹1000 crore. SpiceJet already holds valid shareholder approval to raise up to ₹2,500 crore through QIP, eliminating the need for further shareholder approval.

SpiceJet shares ended 11.28% higher at ₹70.81 apiece, while Easy Trip Planners shares closed 1.27% higher at ₹49.05 apiece, respectively.