Surf Air Mobility, the parent company of Surf Air, Mokulele Airlines, and Southern Airways Express, has secured financing in the form of a USD50 million loan from investment firm Comvest Partners as it works towards further restructuring and addressing its "near-term liquidity constraints".
The loan comprises USD44.5 million in fully funded term loans and USD5.5 million in delayed term loans, which will finance the interest over the next 18 months. The four-year loan is priced at the federal SOFR rate plus 5%. Surf Air Mobility said that it provides the company with "the largest cash position" in its history while also reducing the cost of capital and minimising the risk of equity dilution.
"Alongside this transaction, we have reduced liabilities and, as a result, have significantly strengthened our balance sheet. We are now poised to optimise the structure of our business and capitalise on the opportunities before us," chief financial officer Oliver Reeves said.
