Fastjet to raise funds as African aviation market remains tough

A fastjet airplane. PHOTO | FILE 

By REUTERS

African budget carrier Fastjet Plc said it needed to raise further funds to have sufficient working capital and implement changes as its operations had remained cash negative in a challenging domestic aviation market.

London-listed shares in the company, which has seen the departure of two top executives under pressure from its second-largest investor, were down about 25 per cent at 22.94 pence at 0719 GMT.

Fastjet said on Tuesday it had started the initial phases of a fund-raising exercise, which it planned to complete in July.

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