Silverjet announces urgent cash injection of USD25 million from UAE investor

Following recent material increases in fuel prices and tightening of credit conditions in the airline industry, Silverjet's working capital has deteriorated and its residual reserves are limited.

It is anticipated that the equity element will amount to approximately USD8.0 million, which will be subscribed at GBP17 pence per share. As a result, the new ordinary shares will represent approximately 28% of the enlarged share capital.

The MoU also sets out the intent by the investor to invest up to a further USD75 million in the ongoing development of Silverjet and to participate in the international rollout of the Silverjet brand and concept into new markets within the Middle East, the Far East and Africa.

Upon completing the investment, it is intended that the investor will appoint two representatives to Silverjet's Board of Directors.

© Centre for Asia Pacific Aviation. Date posted: 01-May-08

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