Tigerair has ended its inter-line agreement with Indian low-cost carrier SpiceJet, since it did not achieve the purpose of generating enhanced business, said Tigerair's director for sales and marketing Teh Yikchuan.

A Tiger Airways plane is towed on the runway past Singapore Airlines and Tiger Airways planes sitting on the tarmac at Changi Airport in Singapore.Reuters

The Singapore-based low-cost air carrier communicated it to SpiceJet in December 2014.

As per the agreement signed between the two air carriers in December 2013, SpiceJet was selling tickets in Singapore's low-cost airline for onward destinations from Singapore. But the deal was not yielding revenues for Tigerair as projected. Also, the Singapore carrier was not able to match flight schedules effectively. Hence, it decided to call off the agreement.

Tigerair connects Singapore to six Indian destinations through 36 weekly flights.

Singapore Airlines (SIA) is the largest shareholder in low-cost airline Tigerair. SIA has a 49 percent stake in India's new full-service carrier Vistara.

The past few months have seen SpiceJet fly through choppy weather, with a change in management led by founder-promoter Ajay Singh and fresh investments of ₹1,500 crore.

SpiceJet has liabilities of ₹1,400 crore to airports and other vendors and its accumulated losses stand in excess of ₹3,000 crore, read Business Standard.