Global Crossing Airlines Group, Inc., announced recently the closing of the placement of US$35 million of Senior Secured Notes due 2029 with funds managed by Axar Capital Management LP and its affiliates, a value-oriented alternative investment firm with over US$2.3 billion in assets under management.
“GlobalX is excited to welcome Axar as our financing partner as we continue to expand our fleet and capitalize on the growth that our platform is driving. Axar’s experience in the aviation sector and its focus on funding high growth companies such as GlobalX make them the ideal partner and a validation of our business model and the platform that our management and employee partners have built,” said Ed Wegel, Chairman and CEO of GlobalX.
“The proceeds from the notes will refinance all the Company’s existing indebtedness and provide GlobalX the capital required to continue to execute on our growth plan and expand our passenger and freighter aircraft fleet, currently at 11 aircraft and expected to be at least 16 by the end of 2023.”
“GlobalX has a significant opportunity to expand its offering in charter and cargo operations, serving a unique and durable customer base,” said Andrew Axelrod, Founder and Managing Partner at Axar Capital. “We are pleased to be a partner to GlobalX to facilitate a simplification of the company’s capital structure and support the company’s growth objectives.”
The Financing consisted of the sale of US$35 million of Senior Secured Notes (the “Notes”) and accompanying warrants to purchase the Company’s common stock.
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