Fastjet shares collapse as cash crisis threatens survival
Shares in African budget airline Fastjet collapsed Wednesday after warning it could go bust unless it obtains new funding. The airline, set up by EasyJet founder Stelios Haji-Ioannou, flies in several African countries including South Africa, Tanzania and Zimbabwe. It is talking to major shareholders about an equity fundraising. However, if no new funds emerge, Fastjet said it may not be "able to continue trading as a going concern". Fastjet has just US$3.3m in cash, of which $1.75m is held in Zimbabwe and is not readily accessible. Shares fell 72% in afternoon trading in London, valuing the company at less than GBP20m. If the talks fail, Fastjet said it could be suspended from trading on the AIM market. Stelios has been Fastjet's major shareholder but now has a stake of less than 3% in the company. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2018-06-28/unaligned/fastjet-shares-collapse-as-cash-crisis-threatens-survival
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Fastjet shares collapse as cash crisis threatens survival
Shares in African budget airline Fastjet collapsed Wednesday after warning it could go bust unless it obtains new funding. The airline, set up by EasyJet founder Stelios Haji-Ioannou, flies in several African countries including South Africa, Tanzania and Zimbabwe. It is talking to major shareholders about an equity fundraising. However, if no new funds emerge, Fastjet said it may not be "able to continue trading as a going concern". Fastjet has just US$3.3m in cash, of which $1.75m is held in Zimbabwe and is not readily accessible. Shares fell 72% in afternoon trading in London, valuing the company at less than GBP20m. If the talks fail, Fastjet said it could be suspended from trading on the AIM market. Stelios has been Fastjet's major shareholder but now has a stake of less than 3% in the company. <br/>
