Spicejet interested in Go First and also raises fresh funding

There are two notable developments at Spicejet –

1. It’s interested in looking at the bankrupt Go First for acquisition
   • Has expressed interest to Go First’s Resolution Professional and will submit an offer post diligence
2. Further to it’s recently announced plan to raise fresh capital of $270 mn i.e. Rs 2,254 cr –
   • It has announced raising Rs 1,100 cr from a Mumbai based conglomerate in lieu of 19% stake in the airline
     • Mahapatra Universal Limited, led by the couple Hari Mahapatra and Preeti Mahapatra, as per the website are  present in multiple sectors such as real estate, infrastructure, consulting, consumer and retail. To many this group may not be known and hence investment of this size would have come as a surprise.
   • According to the Economic Times, which reviewed a detailed funding proposal, other investors include Aries Opportunities Fund with 3% and Elara Capital with 8% (post warrant conversions).