13:09 Thu 12 Mar 2020
Fastjet PLC - Trading Statement
fastjet Plc
("fastjet", the "Company" or the "Group")
Trading Update, Capital Requirements and Restructuring Proposal
fastjet, the low-cost African airline, today provides an update on trading, the proposed restructuring of the Group and the Group's capital requirements following its previous announcement on
Trading update
Overall trading for the first two months of 2020 has been slightly below management's expectations driven primarily by an oversupply of capacity in the
Coronavirus / COVID-19 impacts
To date,
Cash position
As at
Capital Requirements and Restructuring Proposal
As previously announced the Directors expected that the Group would have sufficient resources to meet its operational needs until the end of
To address this funding requirement, the Group announced it was in discussions with an investor consortium led and underwritten by
With the delays to the Disposal experienced to date, the Group has engaged with its main creditors who, following detailed discussions with management, have agreed to defer due dates for repayments and/or have agreed to settlement discounts to current carrying values. Subsequently the Directors believe, based on current financial projections, funds available and expected to be made available, together with the revised creditor terms agreed, that the Group will have sufficient resources to meet its operational needs until the end of
The headroom of available cash resources remains minimal and the projections remain very sensitive to any assumptions not being met or any significant downturn in business which could be triggered by any widespread impact in the region from the Covid-19 virus or any other unforeseen circumstances.
If the Group is unable to complete the Disposal or raise additional capital by
Annual Report and Annual General Meeting:
The Group is currently well advanced in the audit of its full year
A further update will be made in due course.
This announcement is released by fastjet plc and contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 (MAR), and is disclosed in accordance with the Company's obligations under Article 17 of MAR.
For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is being made on behalf of the Company by
fastjet plc |
Tel: +27 (0) 10 070 5151 |
|
|
|
|
Nominated Adviser and Broker |
Tel: +44 (0) 20 3100 2222 |
|
|
Financial PR |
Tel: +44 (0) 20 7638 9571 |
|
|
NOTES TO EDITORS
About
fastjet is a multi-award winning (including
Today, fastjet's route network includes operations predominately in
IMPORTANT INFORMATION
This Announcement contains (or may contain) certain forward-looking statements with respect to certain of the Company's plans and its current goals and expectations relating to its future financial condition and performance and which involve a number of risks and uncertainties. The Company cautions readers that no forward-looking statement is a guarantee of future performance and that actual results could differ materially from those contained in the forward-looking statements. These forward-looking statements can be identified by the fact that they do not relate only to historical or current facts. Forward-looking statements sometimes use words such as "aim", "anticipate", "target", "expect", "estimate", "intend", "plan", "goal", "believe", or other words of similar meaning. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances, including, but not limited to, economic and business conditions, the effects of continued volatility in credit markets, market-related risks such as changes in the price of commodities or changes in interest rates and foreign exchange rates, the policies and actions of governmental and regulatory authorities, changes in legislation, the further development of standards and interpretations under International Financial Reporting Standards (IFRS) applicable to past, current and future periods, evolving practices with regard to the interpretation and application of standards under IFRS, the outcome of pending and future litigation or regulatory investigations, the success of future explorations, acquisitions and other strategic transactions and the impact of competition. A number of these factors are beyond the Company's control. As a result, the Company's actual future results may differ materially from the plans, goals, and expectations set forth in the Company's forward-looking statements. Any forward-looking statements made in this Announcement by or on behalf of the Company speak only as of the date they are made. Except as required by the Financial Conduct Authority (the
This information is provided by RNS, the news service of the
The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of...
FOR OUR FULL DISCLAIMER CLICK HERE