- Global Crossing Airlines (JET) has closed a non-brokered private placement
- The company raised the full USD $5 million in gross proceeds
- It issued 8,064,517 units at a unit price of USD $0.62
- Units consist of one common share and one warrant to purchase an additional share for USD $1.00
- Shares of Global Crossing Airlines are down 2.26 per cent on the day, trading at C$1.30 at 11:50 a.m. EST
Global Crossing Airlines (JET) has closed a non-brokered private placement.
The company raised the full USD $5 million in gross proceeds, issuing 8,064,517 units at a unit price of USD $0.62.
For the purposes of the financing, units consist of one common share and one warrant to purchase an additional share for USD $1.00 for a period of 27 months after closing.
The offering was non-brokered, but the company paid US$217,000.13 in finder’s fees and issued 350,000 finder’s warrants.
In addition to applicable restrictions under United States securities laws, the securities issued in the offering are subject to a Canadian statutory four-month hold period that expires on May 27, 2021.
The company intends to use the net proceeds of the offering to substantially complete the FAA certification process, substantially meet the US Department of Transportation (DOT) economic fitness test, make aircraft deposit or lease payments, and for general corporate and working capital.
Global Crossing Airlines is a new entrant airline now in FAA certification using the Airbus A320 family aircraft.
Subject to FAA and DOT approvals, the airline intends to fly as an ACMI and wet lease charter airline serving the US, Caribbean and Latin American markets.
Shares of Global Crossing Airlines are down 2.26 per cent on the day, trading at C$1.30 at 11:50 a.m. EST.
