BENGALURU, Sept 10 (Reuters) - India's SpiceJet

said on Tuesday that Carlyle Group's ( CG ) commercial

aviation investment and servicing unit will write off $40.2

million of the airline's lease arrears and convert $30 million

of its arrears into equity.

The conversion, at 100 rupees ($1.19) per share of Spicejet,

is a 56% premium to its close on Monday.

The budget carrier's shares jumped as much as 6% after the

announcement.

The conversion will "significantly increase" Carlyle

Aviation's stake in the carrier, Spicejet said.

It was not immediately clear how much stake Carlyle Aviation

held in SpiceJet.

($1 = 83.9700 Indian rupees)