New Delhi, Dec 20 : In a strategic move to bolster SpiceJet's financial position and spur growth, Mumbai-based businessman Harihara Mahapatra and his wife Preeti have announced a substantial investment of Rs 1,100 crore in the airline. The acquisition secures the couple a 19 per cent stake in SpiceJet, as revealed in a stock exchange filing by the airline. The investment plan includes participation from Aries Opportunities Fund, holding three per cent, and Elara Capital, securing an eight per cent stake through the conversion of warrants. Earlier, the Board of Directors of SpiceJet unanimously approved the infusion of fresh capital exceeding Rs 2,250 crore. This move involves issuing equity shares to financial institutions, foreign institutional investors (FII's), high net worth individuals (HNI's), and private investors. An official from SpiceJet said, "The Board's unanimous decision reflects our commitment to strengthening the airline's financial foundation and propelling its growth trajectory. The issuance of equity shares and warrants under private placement is subject to necessary approvals from shareholders and regulatory bodies." The proposed preferential issues encompass a diverse group of investors, including Elara India Opportunities Fund, Aries Opportunities Fund, Mahapatra Universal Limited, Nexus Global Fund, Prabhudas Lilladher, Resonance Opportunities Fund, among others, aiming to raise funds aggregating over Rs 2,250 Crore. The Board of Directors, in a meeting held on December 12 gave the green light for issuing up to 31,83,00,000 equity shares of face value Rs10 each ('Tranche I Issue') and up to 13,00,00,000 warrants, convertible to equity shares ('Tranche II Issue'), on a preferential basis. The funds from the Tranche I and Tranche II issues, totaling Rs 15,91,50,00,000 and Rs 6,50,00,00,000, respectively, are earmarked for addressing statutory obligations, settling past dues with creditors, uplifting and ungrounding the fleet, acquiring new aircraft, meeting ATF expenses, employee-related expenses, and general corporate purposes. Approximately 25 per cent of the funds from each preferential issue will be allocated to these purposes. If approved by shareholders, the investment will result in a reduction of airline promoter Ajay Singh's current shareholding from 56.49 per cent to at least 38.55 per cent. Presently, 37.9 per cent of Singh's stake is pledged with various banks, marking a significant development in SpiceJet's ownership structure. Meanwhile, the stock exchange filing announced the Annual general meeting of the members on December 30. 'This is to inform you that the 39th Annual General Meeting of the members of SpiceJet Limited will be held on Wednesday, the 10th day of January, 2024 at 3:30 p.m. through video conference and other audio visual means to transact business as per attached Notice of Annual General Meeting,' the airline said in the notice. /IANS