Global investment banking and securities firm Goldman Sachs has expressed interest in acquiring equity in Delhi-based SpiceJet. Cash-strapped discount airline SpiceJet Ltd is thinking on the ways to raise funds. SpiceJet has also reserved an option of merger to raise funds. It is seeking at least $100 million (Rs431 crore) to boost its working capital. SpiceJet Ltd is India’s third largest low-fare airline by passengers flown. It has appointed merchant banker NM Rothschild and Sons (India) Pvt. Ltd to suggest fund-raising options. The merchant banker has suggested various measures such as stand-alone shareholders, hedge funds, VCs (venture capital firms) and merger.

The air line suffered a loss of more than Rs133 crore in fiscal 2008 as comared to Rs 78 crore in the previous year. The airline is controlled by various investors such as UK-resident Kansagra family, which holds a 12.91% stake. Other major stake holders are Dubai-based investment agency Istithmar World PJSC, the Tata group and the airline’s director Ajay Singh holding 13.42%, 6% and 4.16% shares respectively in the domestic carrier. Shares of SpiceJet were down by 2.30% on the Bombay Stock Exchange (BSE) on Tuesday. The shares closed at Rs30.45 as compared to Rs104.80 on 8 January.

Apart from billionaire businessman Anil Ambani, two of India’s biggest airline groups, Kingfisher Airlines Ltd and Jet Airways (India) Ltd, had earlier shown interest in SpiceJet. Sources has disclosed that chairman of Kingfisher Airlines, Vijay Mallya has shown interest in SpiceJet and he is in touch with Spice Jet’s foreign investors