New Delhi, December 05, 2005: SpiceJet Limited today announced that it has raised US $80mn through issue of Foreign Currency Convertible Bonds (FCCBs) in the international market. The subscribers to the bond issue include Goldman Sach, one of the largest investment bankers in the world and Istithmar, the private equity arm held by Government of Dubai. Istithmar was recently in the news for the purchase of property in Manhattan, New York valued at US $ 705 million. Earlier Istithmar had subscribed to preferential equity in SpiceJet to the tune of US $ 12.5 million at a price of Rs 89.30 per share. The bond holders have the options to convert the bonds into shares at a substantial premium over Monday’s closing price of its share at Bombay Stock Exchange.

SpiceJet informed that the bonds will be listed at Luxemburg Stock Exchange. The funds raised from this issue would be utilized to part finance the fleet expansion plans. SpiceJet has placed orders for 20 Boeing 737-800 aircraft (10 firm & 10 option). Ajay Singh, Director of SpiceJet, said, “We received a very large number of offers for subscribing to our Bonds. We have chosen to issue these Bonds to blue chip investors who can play a long term role in the growth & development of our Company. The Bond issue will further strengthen the financial position of SpiceJet and enable it to achieve a leadership position in the aviation space in India.”

SpiceJet recently inducted two more Boeing 737-800 aircraft in its fleet and increased its capacity from 4500 seats to over 6600 seats a day. SpiceJet intends to add eight to 10 aircraft in 2006. During last six months since its launch the airline has operated with the highest load factor in the industry. SpiceJet intends to grow its fleet aggressively and would induct about 30 aircraft in next three years.