Fastjet (Dar es Salaam) has terminated an equity financing facility with Darwin Strategic, first announced in June last year. In a statement announcing it had raised GBP11million (USD18.38million) in additional funding, the airline said the facility has served it well over the past year, but is no longer required to finance further growth.
Directors, including chief executive Ed Winter and finance chief Angus Saunders, accounted for around GBP1million of the GBP11million, while Stelios Haji-Iannou’s easyGroup also invested GBP1million in the placing.
EasyGroup has also agreed to cancel the management consultancy fee as per the brand licence in exchange for the receipt of 94.3million Fastjet shares worth around GBP1.5million.
"It also means an end to the previously agreed cash payments equating to around £4.3mln over the next eight years. The company also announced an open offer of 250mln shares to raise up to £4mln for qualifying shareholders on the same terms as the placing," it said.
Ahead of its annual financial report, the airline says it expects revenues, inclusive of its Fly540 Ghana (Accra) and Fly540 Angola (Luanda 4 De Fevereiro) subsidiaries, to be around USD53million with operating losses before tax to total USD47million.
The group has set a goal of having four operational fastjet bases across Africa by 2016 and by 2018, operating 24 aircraft, carrying approximately 6 million passengers per year with targeted revenues in excess of USD500 million. Among the bases are Zambia, Kenya, Nigeria and South Africa.
