SpiceJet soars on getting AAC’s nod to import more aircrafts

SpiceJet Ltd. | Airlines | Travel & Hospitality | BSE: 500285 | NSE: SPICEJET

15 Feb 2013 Evaluate

SpiceJet is currently trading at Rs. 41.70, up by 0.75 points or 1.83 % from its previous closing of Rs. 40.95 on the BSE.

The scrip opened at Rs. 41.15 and has touched a high and low of Rs. 41.80 and Rs. 40.60 respectively. So far 18, 31,000 shares were traded on the counter.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 50.90 on 07-Dec-2012 and a 52 week low of Rs. 20.35 on 07-Mar-2012.

Last one week high and low of the scrip stood at Rs. 44.15 and Rs. 40.50 respectively. The current market cap of the company is Rs. 2,019 crore.

The promoters holding in the company stood at 48.59% while Institutions and Non-Institutions held 17.25% and 34.16% respectively.

Low cost carriers, IndiGo and SpiceJet have got the nod from Aircraft Acquisition Committee (AAC) of the Civil Aviation Ministry to import more aircrafts. The AAC, headed by S Machendranathan, the additional secretary and financial adviser of the Ministry of Civil Aviation, has allowed IndiGo to import four Airbus 320, while SpiceJet’s proposal to import three Boeing 737 aircraft too was cleared recently. However, the proposal now awaits the final nod from the Civil Aviation Minister Ajit Singh.

However, it remains important to be noted that the decision to allow IndiGo to import more aircraft comes at a time when airline is facing problems from the government in importing 16 A320 aircraft, which is part of the order of original 100 aircraft for which the airline already has in-principle approval.

IndiGo currently has 63 aircraft and plans to induce three of the five cleared planes this year end and two more by this fiscal year end.