Loss making African low-cost carrier Fastjet has attracted a new shareholder which will give it access to three leased aircraft.
Johannesburg-based commercial aviation group Solenta, which operates a fleet of 49 aircraft, is to take a 28% stake in Fastjet.
At the same time, the budget airline backed by easyJet founder Sir Stelios Haji-Ioannou aims to raise $28.8 million through a share placing.
The aim is to provide Fastjet with the necessary infrastructure and capital to implement the final stages of a restructuring.
Interim chairman and chief executive Nico Bezuidenhout said: “Our agreement with Solenta represents a good operational and strategic fit.
“It provides Fastjet with access to fleet and related services which, together with the funds raised through our proposed placing, will allow us to successfully implement the final stages of our stabilisation plan.
“We have made good progress with the plan and the near-term priority continues to be to fully stabilise the business and to reach cash flow break even by the fourth quarter of this year.
“As well as helping us to achieve this objective, the fundraising and Solenta agreement will also provide the platform from which to flexibly and cost-effectively pursue Fastjet’s medium to long-term objective of becoming the first truly pan-African low-cost airline.”
Solenta will have the right to nominate two directors to the board of fastjet as part of the agreement.
The airline also intends to further “strengthen and balance” its board with additional non-executive directors.