Shares of SpiceJet fell to an intraday low of 10% to Rs 54.60 from its previous close of Rs 60.58 on the media reports that the company’s two senior executives resigned.
As per a Mint report, the company’s two senior executives resigned after an airline with the name of their spouses got highlighted in the news. Sirius India Airlines was a buzzword in the news in October 2023, which was operated by SpiceJet’s chief operating officer Arun Kashyap’s and chief commercial officer Shilpa Bhatia’s spouses.
The top executives of an airline were foraying into the same segment was unacceptable and were made to resign, said a source, Mint reported.
“As part of SpiceJet’s strategic restructuring, several members of the commercial team including the Chief Commercial Officer have left the company with immediate effect. The Company continues to see significant growth in revenue and load factor. With the recent fundraise, SpiceJet has speeded up the process of resolution of all past disputes. The Company looks forward to adding capacity, growing rapidly, and continuing to play a large role in the Indian aviation sector,” SpiceJet said in a statement.
SpiceJet has eroded 11% of investor’s wealth in the last five days but has given 40% in the last six months. The stock of the company in the long run has performed well and has given a return of 64% in the last year. It has risen 28% in the past five years.