1TIME RAISES NEW CAPITAL TO FUND EXPANSION

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By admin November 29, 2010 20:59

1TIME RAISES NEW CAPITAL TO FUND EXPANSION

Aviation group 1time has announced it had raised R65 million in new capital through the sale of a 25% stake to two black economic empowerment (BEE) groups, Mtha Aviation and SKMT Sunrise Investment Group.

The airline will issue 70-million shares at about 93c a share, increasing the number of shares in issue to 280-million. The stake will be held through a newly incorporated company, Oakleaf Investment Holdings, with Mtha holding a 83% stake in Oakleaf and Sunrise 17%.

Oakleaf will fund the issue of new shares through the issue of 1000 preference shares to an undisclosed funder for a consideration of R63,15m, with the remainder settled in cash.

1time will use the new capital to grow its fleet in order to expand its network into Africa and introduce flights from Lanseria International Airport next year. The group will also use the funding to beef up its facilities at Safair Technical, its maintenance division.

admin
By admin November 29, 2010 20:59
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