Cheap Flights Deals

SpiceJet history

Posted on: 17/01/2013

SpiceJet history

SpiceJet_Boeing_737

SpiceJet is a low-cost airline based in New Delhi, India. It began service in May 2005. Earlier known as Royal Airways, it is a reincarnation of ModiLuft. SpiceJet marked its entry in service with Rs. 99 fares for the first 99 days. There were 9000 seats available at this rate. It followed it up with a Rs. 999 promotional scheme on select routes.

The origins of SpiceJet track back to February 1993 when ModiLuft, one of India’s first post-deregulation airlines that was launched by the Indian industrialist S K Modi, in technical partnership with the German flag carrier Lufthansa. The airline project was started in February, 1993 and on 5 May 1993 took the first flight from New Delhi to Mumbai.

Modiluft Ltd has informed Bombay Stock Exchange that the Mr. Atul Sharma, Mr. Kishore Gupta, Mr. Siddhartha Sharma, Mr. Mansukhlal Kotecha and Mr. Vijay Kumar have been elected as Directors of the Company with effect from December 31, 2001. The aforesaid persons were earlier co-opted as Additional Directors.

In 2004, management of the airline was taken over by Sanjay Malhotra and Ajay Singh, who renamed the company, raised funds and restarted operations. Thus, was born SpiceJet following the low-cost model. On 7 March 2005, the Airports Authority of India approved three overnight parking slots (for aircraft) to SpiceJet, with two in Delhi and one in Mumbai.

It was very successful and by 2008, it was India’s second-largest low-cost airline in terms of market share. SpiceJet accepted an offer in principle from a U.S.-based private equity firm that would make more funds available. Indian media baron Kalanidhi Maran acquired 37.7% in the business in June 2010.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

Categories

Advertisements
%d bloggers like this: