New Delhi, Jan 26 (IANS): SpiceJet has allotted shares and warrants amounting to a total of Rs 744 crore in the first tranche of its preferential issue.

The decision was taken by the company's Board of Directors on Thursday, marking a significant step in bolstering SpiceJet's financial position.

According to the airline spokesperson, on Thursday, the Board of Directors had approved the allotment of 5.55 crore equity shares on a preferential basis to 54 subscribers. Additionally, the Board approved the allotment of 9.33 crore warrants, offering the option to apply for and be allotted an equivalent number of equity shares, on a preferential basis to Elara India Opportunities Fund Ltd and Silver Stallion Ltd.

SpiceJet Chairman and Managing Director Ajay Singh said: "We are pleased with the completion of the first tranche of our preferential allotment, which demonstrates the confidence of investors in SpiceJet’s growth prospects and we remain committed to completing the further allotment process progressively.

"The fund infusion will open new avenues for SpiceJet, resulting in a more cash-efficient operation, expanded fleet and network."

SpiceJet is due to complete another tranche of equity/warrants raise from remaining subscribers and has requested additional time from the competent authority to complete the process under the ongoing preferential issue, as approved by the shareholders of the company on January 10. The extension is necessitated on account of limited banking days arising from long weekends during the intervening period.