SpiceJet to Issue $50 Million Equity to Carlyle Aviation, Settle $121.2 Million Lease Dues

SpiceJet Ltd. will issue $50 million worth of equity shares to Carlyle Aviation Partners as part of a settlement of $121.18 million in lease obligations, the airline said in a filing Thursday. The deal will unlock $79.6 million in cash maintenance reserves for aircraft upkeep and $9.9 million in maintenance credit to offset lease dues.

Under the agreement, any proceeds above $50 million from the sale of these shares will be used to adjust future lease obligations. SpiceJet’s promoter will also have the option to repurchase the shares once the lock-in period ends.