Farnborough, England: The founder of Kingfisher Airlines, Vijay Mallya, said on Monday he had made an offer to buy discount carrier SpiceJet Ltd but was rebuffed.
Shares in SpiceJet rose sharply recently after a report that unlisted carrier Kingfisher Airlines was close to a deal to take it over. Mallya told journalists on board a newly delivered Airbus A330-200 airliner at a UK air show that SpiceJet had countered his offer by demanding a price that he was not prepared to meet.
"I did discuss with the management of SpiceJet, I won't deny that, but I like to do good deals and I won't do expensive deals," Mallya said. "They have aspirations which I cannot meet. I made an offer which I considered good for Kingfisher," he said.
He added that SpiceJet needed cash and was looking into seeking alternative investment such as bonds. A SpiceJet official told Reuters earlier this month that the airline was in talks with interested parties and had appointed bankers to explore options. It was also looking for private equity investment.
Other recent reports have said Anil Dhirubhai Ambani Group and South-India based airline Paramount Airways were interested in acquiring SpiceJet, in which Tata Group has a minority interest.
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