SpiceJet Limited has finalized a settlement with Carlyle Aviation Partners, unlocking $79.6 million in cash maintenance reserves earmarked for future aircraft and engine upkeep, along with $9.9 million in maintenance credits to offset lease obligations. The agreement significantly bolsters the airline’s liquidity and supports its ongoing restructuring plans.

Under the broader settlement with Carlyle Aviation Partners and its affiliates, certain lease obligations totaling $121.18 million will be restructured. As part of the deal, equity shares worth $50 million will be issued to Carlyle. Additionally, if the lessors realize proceeds exceeding $50 million from the sale of these shares, a portion of the surplus will be applied toward future lease payments.

The promoter (or its designated assignee) will also have the option to purchase the equity shares on mutually agreed terms after the statutory and contractual lock-in periods expire.

Ajay Singh, Chairman and Managing Director of SpiceJet, said, “This agreement marks a significant milestone in our ongoing restructuring and un-grounding efforts. Carlyle’s support underscores their confidence in SpiceJet’s long-term prospects. This transaction meaningfully reduces our liabilities, strengthens our balance sheet, and positions us well for sustainable growth.”

The settlement reflects SpiceJet’s continued focus on strategic restructuring, cost efficiency, and deepening partnerships with key stakeholders as it charts its next phase of growth.