Ace investor Rakesh Jhunjhunwala may have seen the beginning of aturnaroundfor debt-ridden SpiceJet when he bought a 1.4 per cent stake in the airline for about Rs 13.41 crore on Friday. TheKalanithi Maranpromoted airline, which reported five consecutive quarterly losses, has been unsuccessfully trying to raise fresh capital for much of this year.

SpiceJet did not respond to an emailed query.

It reported a Rs 310 crore loss in the quarter ending September against Rs 560 crore in the year-ago period. The airline is now operating 26 Boeing 737 jets, down from a fleet of 35 earlier this year. But the operational environment for the airline seems to be changing with the dramatic fall in crude oil prices, a stable rupee and a reviving economy. The airline expects to fly 50 jets by the second half of the next year

New Delhi:The endgame seems to have begun for SpiceJet. The government on Monday evening decided to give temporary relief to the cash-strapped low-cost carrier, allowing it some more time possibly a week to 10 days more as far as immediate recovery of dues is concerned.This decision came after the airline told the civil aviation ministry it could fold up Monday itself unless it gets financial relief from the government, perhaps in the form of extended credit from state-owned oil firms and state-run Airports Authority of India.Top civil aviation ministry sources said SpiceJets dues are around Rs 2,000 crore, and the immediate dues it needs to pay run to around Rs 1,400 crore. A senior SpiceJet executive said the airline will continue to operate its flight schedule.The airline was asked by the government to submit a clear funding plan, and SpiceJet promoter Kalanidhi Maran could give some financial guarantees. Ironically, on Monday, as SpiceJet appeared in danger of folding up, another airline looked set to soar with Vistara, the Tata-Singapore Airlines joint venture, granted the flying permit by aviation regulator DGCA.Yes, some more time has been given to SpiceJet on the issue of recovery of dues, ministry sources said after fears that SpiceJet, that started operations in 2005, could be the second airline in two years after Kingfisher in October 2012 to cease operations.But SpiceJets claim earlier in the day that it could fold up overnight sent the government into a tizzy, sparking fears that passengers could be in for unprecedented chaos. Questions are being asked on whether the temporary relief can stave off SpiceJets closure.