South African low cost carrier acquires BVI-registered Global Airways

1time Airline (Pty) Ltd, a South African low cost airline which terminated its service in 2012, has entered into a binding agreement with Global Aviation Holdings Limited and Pak Africa Trade Zone Proprietary Limited, to purchase 100% of Global Airways Limited. Global Airways is a British Virgin Islands-incorporated entity, established in 2010, involved in the leasing, chartering, acquisition, refurbishment and heavy maintenance of its planes, and holding a maintenance and control centre in Johannesburg.

The consideration of the acquisition will be R21.6 million, to be settled by issuing 720 million shares, which are subscription shares of 1time at an issue price of 3 cents per share. 270 million of them will be given to Global Aviation, and 450 – to Pak Africa Aviation. Currently there are 280 million shares of 1time Holdings, so current shareholders of 1time will own 28% of the company, Pak Africa will own 45%, and Global Aviation will be the owner of 27%.

Global Airways holds the Airline Operators Certificate for both unscheduled and scheduled flights, so this acquisition will allow 1time Holdings to recommence its services as a low-cost carrier.

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