California Pacific Airlines (San Diego McClellan Palomar) founder and CEO, Ted Vallas, says he is looking to raise USD5 million over the next three months in a bid to get his long-running start-up operational.
Speaking to Coast News, Vallas said he had now secured authorization from the US Securities and Exchange Commission (SEC) to begin selling equity in the carrier to “sophisticated” investors i.e. individuals with at least USD1 million net worth (not including their home) and whose annual income exceeds USD200,000. He reportedly owns 92% of the carrier and has thus far put in USD15 million of his and his family's own funds into the project.
Conceived of back in 2010, California Pacific has struggled to get airborne due to a number of failed attempts at securing its Air Operator's Certificate (AOC) from the US Federal Aviation Administration (FAA).
With its fourth attempt currently underway, Vallas has outlined California Pacific's revised operational launch plans. In the first phase, CPA will serve San José, US, Oakland International, Phoenix Sky Harbor, Las Vegas Harry Reid, Tucson International, and San José Cabo (Mexico) using 40-seater E145s and E170s. The second phase will see it rolling out service to St. Louis Lambert International and down into the Texas area.
In March, Vallas alluded to a possible third quarter launch.
