Silverjet Picks up $100 M in the Nick of Time
Last man standing Silverjet has just announced it's picked up another investor. The deal starts with $25 million in cash and debt that will shore up the airline's finances. If things go well, another $75 million could come through in exchange for two seats on the Silverjet board. Though announced, there's a slight chance the money could be withdrawn, in which case the carrier will almost certainly end up like its rivals.
CEO Lawrence Hunt says the investment should make people more likely to fly with his airline:
The primary issue we've had is a lack of confidence in the sector, but this $100 million investment should restore that confidence. We've had a lot of travel agents and companies holding back from booking with us until our future is secure and this investment obviously secures that future.
We wouldn't say a secure future is "obvious," but $100 million is certainly a lot of green. Interestingly, the money is coming from an investor in the UAE, which is home to Silverjet's newest destination, Dubai. Could an eastward expansion be in the works?
Related Stories:
· Silverjet Surges on $100 Million Investment Pledge [Bloomberg]
· Airline Merger Guessing Game: Who Would Buy Silverjet? [Jaunted]
· Fawning over Silverjet's New Mobile Website [Jaunted]
· All Business Class Carriers coverage [Jaunted]
[Photo: Silverjet]
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