#FastjetPLC indicates purchase of 4 #Embraer #ERJ145 from #Solenta

FASTJET PLC’S EQUITY REFINANCING SUCCEEDS

(Posted 17th November 2018)

Fastjet PLC has confirmed that the intended equity refinancing has been successfully completed.
In addition to the equity placing of nearly 900 million shares, the company also announced the following additional Equity Refinancing arrangements earlier today:

  • a subscription by Solenta, who has agreed to subscribe for 316,738,282 shares at the Issue Price for gross proceeds of US$4.1 million; and
  • the issue of 1,909,824,218 shares at the Issue Price with a value of US$24.4 million a) to acquire four Embraer 145s from Solenta and to settle associated early termination lease charges, b) settlement of the majority of the Solenta long term loan and overdue interest, and c) professional fees.

The issue price represents a discount of 39 percent to the closing price of 1.65 pence per ordinary share on 16 November 2018.

The completion of these transactionsa are now subject to:

(i) the approval by Shareholders of the Authorising Resolution at the General Meeting which was also announced earlier today;

(ii) the Solenta Subscription Letter becoming unconditional in all respects; and

(iii) the Placing Agreement not having been terminated in accordance with its terms prior to Admission,

The settlement and admission to trading on AIM of the Placing Shares is expected to occur on 10th of December 2018.

Fastjet is a multi-award winning (including Skytrax World Airline Awards Best Low-Cost Airline in Africa 2017 and Leading African Low-Cost Carrier, World Travel Awards 2016, 2017 and 2018) African low fare / high value airline for everyone that began flight operations in Tanzania in November 2012, flying passengers from Dar es Salaam to just two domestic destinations – Kilimanjaro and Mwanza at the time.

Today, Fastjet’s route network includes Tanzanian domestic routes from its Dar es Salaam base to Kilimanjaro, Mbeya, and Mwanza, and international routes from Tanzania to Lusaka in Zambia and Harare in Zimbabwe. Fastjet began branded domestic flights in Mozambique (operated by Solenta Aviation Mozambique) in November 2017, its network presently providing flights between Maputo and Beira, Quelimane and Tete.
Fastjet also just celebrated its third year of operations in Zimbabwe in 2018.
The carrier operates between Harare and Bulawayo, Harare and Victoria Falls and from Harare and Victoria Falls to Johannesburg in South Africa.
The airline’s operations have flown over 3.5 million passengers with an impressive on-time performance aggregate, establishing itself as a punctual, reliable, and affordable carrier.

In Tanzania is presently a local buyout of Fastjet PLC’s shares in the making, which will upon successful completion turn Fastjet (Tanzania) into a franchise of Fastjet PLC.
Usually reliable sources have also suggested that the launch of Fastjet (South Africa) could take place as early as next year to further complement the airline’s operations in Southern Africa, presently only involving flights from Zimbabwe to Johannesburg, where the airline is now headquartered.

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