Mesa Air Group has announced it will offer 10.7 million shares priced between USD14 to USD16 each during its IPO on the Nasdaq on Thursday, August 9.
The firm said in an SEC filing that based on a median rate of USD15 per share, it expects to raise approximately USD145.9 million in net proceeds which would then be used to repay all outstanding indebtedness under its CIT Revolving Credit Facility in the amount of USD25.7 million, repay from USD20-40million worth of existing indebtedness under a Spare Engine Facility and Subordinated GECAS Notes, and, in connection with that repayment, refinance the remaining portion of indebtedness under the Spare Engine Facility and the Subordinated GECAS Notes. Any remaining proceeds are to be used for general corporate purposes.
Raymond James and BofA Merrill Lynch have been named lead bookrunners with Cowen, Stifel and Imperial Capital acting as co-managers.
Mesa Air Group is the parent firm of Mesa Airlines (YV, Phoenix Sky Harbor), an Arizona-based production carrier operating a fleet of 145 aircraft, mainly CRJ700s and -900s, as well as E175s, for and on behalf of American Airlines (as American Eagle) and United Airlines (as United Express).
