A new potential buyer for bankrupt LCC 1Time (T4), has emerged in the form of PAKAfrica Aviation, a Pakistani aviation group, who have pitched USD1.6million (ZAR15million) for a "controlling stake" in South African firm, 1Time Holdings, owners of the LCC along with its MRO wing, JetWorx.
On the back of news that fastjet (FN) has entered into a partnership with South African investment firm Blockbuster and Federal Air (7V) with flights to Johannesburg and Cape Town set to start in late May, 1Time's liquidator says he has applied to have the proposed total liquidation date of the airline brought forward.
The former founders of defunct South African LCC, 1Time (T6), have placed the blame for the carrier's demise squarely on the shoulders of the Black Economic Empowerment consortium who acquired a 25% shareholding in the airline.
Following on from our last report, LCC fastjet (FN) is now reportedly in negotiations with a "credible local South African partner" to aide in its protracted battle to acquire control of bankrupt South African carrier, 1Time (T6). This comes after an outcry from the local airline community including South African Airways and Comair Ltd, forced fastjet to rethink its strategy to acquire 1Time, which until now, has been blocked by South African law.
Tanzanian based LCC, fastjet (FN), has secured an additional USD23.5million (GBP15.68million) in funding following an agreement with Bergen Global Opportunity Fund, an institutional investment fund managed by Bergen Asset Management, LLC, a New York asset management firm.
Tanzania based fastjet (FN), has agreed to settle debts amounting to over USD2million (TAS3.14billion) owed to both the Tanzanian Revenue Authority (TRA) and the Tanzanian Airports Authority (TAA). Previously, fastjet had claimed that the debts had been incurred under predecessor Fly540's previous owner, 540 Aviation, who were therefore responsible for them.
In another promising development following the proposed acquisition of bankrupt South African LCC 1Time (T6) by LCC fastjet (FN), its sister MRO company, Jetworx, has been acquired by the American Industrial Acquisition Corporation (AIAC), thereby giving hope to its remaining 200 employees. The deal however, is still subject to approval by Jetworx creditors.
Defunct South African LCC 1Time (T6) has set 27 February 2013 as its intended date of relaunch as talks with suitor Fastjet (FN) and the airline's creditors progress. On 19 December, it was announced that fastjet had entered into an option agreement to buy the entire issued share capital of 1Time Airline from its parent company, 1time Holdings Limited, for ZAR1 (USD0.12).
Following the recent announcement that it was in talks to buy 1Time (T6), the South African low cost airline that went into liquidation last month, fastjet(FN), has entered into an option agreement to buy the entire issued share capital of 1time Airline from its parent company, 1time Holdings Limited, for ZAR1 (USD0.12). Initially, the airline will operate with three 1Time aircraft before Airbus A319s are added and the airline completely rebranded to fastjet.
Following recent speculation in the South African press, fastjet (FN) has announced that it is indeed currently in negotiations with the management, directors and provisional liquidator of 1Time (T6), the South African LCC that ceased trading last month. The negotiations, which have not yet concluded, and are subject to Board, parent company, and Regulatory approval, would allow fastjet to purchase 1time Airline from its parent company, 1time Holdings.
Nu-Aero, the 51% majority shareholders in Zimbabwean LCC, Fresh Air (Z7), have stated that flights between Victoria Falls and Johannesburg (ORTIA), South Africa "could" resume as early as next month, in time to capitalize on the Christmas period, if a suitable technical partner can be found.
The demise of LCC 1Time (T6) has led to a war of words between Comair Ltd's CEO Erik Venter and South African Minister of Public Enterprises, Malusi Gigaba.
The mysterious investor, who could have been 1Time Holdings knight in shining armor during its hour of need on Friday last week, have been revealed to be British group, FastJet PLC.
Embattled South African LCC, 1Time (T6), has filed for liquidation and has subsequently ceased operations as of 3pm this afternoon, 2 November 2012.
South Africa's 1time Holdings Ltd, the parent company of LCC 1Time (T6) and its sister company, Jetworx, has posted a USD5.02million loss according to its unaudited results for the interim period ended 30 June 2012, with "higher fuel costs, airport taxes and an excess of capacity in the market" continuing to take their toll.