Airline operator SpiceJet has entered into a settlement deal with De Havilland Aircraft of Canada (DHC).
The DHC reportedly moved a Delhi court against the SpiceJet, seeking payments in connection with Q400 aircraft that was not paid. The manufacturer has now apparently stopped production of the aircraft.
"The parties have agreed to settle all their disputes under and related to the aircraft purchase agreement and component solution agreement, subject to compliance with the terms of settlement," SpiceJet said on Wednesday.
Also, all the legal proceedings between the two entities have been stayed for compliance.
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"All related proceedings before the UK Court and execution proceedings before the Delhi High Court have been stayed and will be withdrawn upon compliance with the settlement terms," it added.
At 12.55 p.m., shares of SpiceJet traded at Rs 69.50, up 0.1 per cent from the previous close.
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