Ajay Singh held the positions of Chairman, Managing Director, and the largest shareholder of SpiceJet.
The infusion of Rs 500 crore into the airline by Ajay Singh, the promoter of SpiceJet, through the subscription of new equity shares and/or convertible instruments, will significantly enhance the company’s financial situation. This move demonstrates strong confidence in the airline’s long-term sustainability and marks a crucial milestone in SpiceJet’s journey toward sustained growth.
SpiceJet’s shares closed at Rs 32.18 on Wednesday, registering a 4.39% increase compared to the previous BSE close of Rs 29.85. As a result of the promoter’s investment, SpiceJet will be eligible for additional credit facilities totaling Rs 206 crore under the Emergency Credit Line Guarantee Scheme.
The aviation stock started the current session today at Rs 29.85, unchanged from the previous day. Over the past year, the stock has experienced a decline of 19.27%, and a 20% drop since the beginning of this year. Technically, SpiceJet’s relative strength index (RSI) stands at 62.8, indicating that the stock is neither overbought nor oversold. With a beta score of 0.9, the stock demonstrates low volatility over the course of a year.
Ajay Singh: Background
Born on December 29, 1965, Ajay Singh is an Indian businessman, sports administrator, bureaucrat, and investor. He currently holds the positions of Chairman, Managing Director, and largest shareholder at SpiceJet.
Ajay Singh grew up in Central Delhi and attended St. Columba’s School, where he captained the cricket and hockey teams. He pursued an engineering degree at the Indian Institute of Technology Delhi and obtained a Master’s degree in Business Administration (MBA) from Cornell University in the United States. Additionally, Singh holds a Bachelor’s degree in Law (LL.B) from the Law Faculty, University of Delhi.
In 2005, Singh co-founded SpiceJet with the aim of making air travel affordable for all Indians. After leaving the airline in 2010, he repurchased it when it faced the threat of closure five years later.
Under his leadership, SpiceJet witnessed increased profitability, with 18 quarters of profitability since 2015 and the highest passenger load factor for over five years.
Ajay Singh currently leads ASSOCHAM, one of India’s prominent trade and business organizations. In January 2019, he became the first Indian to preside over the Aviation, Travel, and Tourism (ATT) Governor’s Meeting at the Davos World Economic Forum. In June 2019, he received a nomination to the Board of Governors of the International Air Transport Association. Additionally, he serves as the head of the National Committee on Civil Aviation of the CII and oversees the India Initiative of the World Travel and Tourism Council.