Canada Jetlines Ltd. (JET: TSX-V) (JETMF: OTCQB), in association with Latvia-based SmartLynx Airlines SIA have announced their financing of USD 7.5 million is still proceeding, the companies said.
Jetlines and SmartLynx agreed to restructure the financing such that it will be completed by way of a convertible debenture instead of subscription receipts. For regulatory reporting purposes, SmartLynx was required to issue a press release regarding the restructured financing in order to confirm that financing is no longer being completed by way of subscription receipts.
On July 29, 2019, Jetlines and SmartLynx entered into a definitive subscription agreement with respect to the USD 7.5 million convertible debenture financing. The amended offering terms are set to match the financing terms agreed to with InHarv ULCC Growth Fund.
Canada Jetlines Ltd. is set to become Canada´s first true Ultra-Low Cost Carrier (ULCC) airline, with plans to operate flights across Canada and provide non-stop service from Canada to the United States, Mexico and the Caribbean.