Fastjet raises £0.5mln after issue of equity

Low-frills African airline fastjet (LON:FJET) has raised £500,000 after it issued 12.5mln new shares at 4p each to Darwin Strategic.

Fastjet has drawn down on its Equity Financing Facility (EFF) with its investment partner, which is a subsidiary of Henderson Global Investors Volantis Fund.

The funds will go towards general working capital and the expansion of fastjet’s network in Africa.

Application will made to the London Stock Exchange for the new shares to be admitted to the junior market.

The shares are expected to begin trading on January 25.

Fastjet launched its domestic flights in Tanzania at the end of November and has seen strong demand for its journeys so far, with 30,000 passengers carried in December, its first month of operations.

It hopes to announce regional routes to Entebbe in Uganda, Johannesburg in South Africa and Moroni in the Comoros Islands in the next few weeks.