SpiceJet Settles Long-Running Dispute with Willis Lease Finance
Willis Lease Finance has withdrawn its insolvency appeal against SpiceJet following the settlement of their ongoing lease dispute. The Indian airline announced that the terms of the agreement would result in significant savings. The settlement was filed with the National Company Law Appellate Tribunal (NCLAT) on February 18, 2025, and the appeal was closed on March 10, with the case disposed of on March 27.
SpiceJet’s chairman and managing director, Ajay Singh, hailed the settlement as a positive outcome of the airline’s financial restructuring strategy. Singh noted that the company’s recent qualified institutional placement and promoter funding had bolstered its financial position, enabling it to resolve long-standing disputes and improve financial stability. The airline also emphasized that its strengthened balance sheet would support the settlement of remaining claims from various lessors.
Willis Lease Finance had originally filed for SpiceJet’s insolvency in 2023, claiming approximately $11 million in unpaid rent for 13 leased engines. The National Company Law Tribunal (NCLT) rejected the petition in December 2023 due to procedural issues, and the lessor appealed the decision in April 2024.
While SpiceJet is gradually settling many of its outstanding legal issues, it still faces a number of ongoing bankruptcy petitions, including some that have been recently filed.
Related News: https://suspicious-zhukovsky.67-21-117-18.plesk.page/category/air-travel-business/airline-finance/
Sources: AirGuide Business airguide.info, bing.com, ch-aviation.com