SpiceJet share price plunges over 9% day after DGCA grounds 50% flights

Shares of SpiceJet tanked as much as 9.3% on Thursday, a day after aviation regulator Director General of Civil Aviation (DGCA) ordered the budget carrier to slash its approved fleet to 50 per cent this summer for eight weeks, citing multiple safety snags.

The Director General of Civil Aviation also said on Wednesday the domestic airline will be subjected to "enhanced surveillance".

Meanwhile, a SpiceJet spokesperson today morning said that “all flights departed on time, as per schedule today morning and that there were no flight cancellations".

"There has been absolutely no impact on our schedule following yesterday’s order by the regulator. This has been possible as SpiceJet, like other airlines, had already rescheduled its flight operations due to the current lean travel season," the spokesperson said.

"We would like to once again reassure our passengers and travel partners that our flights will operate as per schedule in the coming days and weeks. SpiceJet is confident of scaling up its operations and addressing any concern the regulator may have on priority.”