Air T Completed Its Private Placement Of $4M Of Its 8% Trust Preferred Securities At $17/Share For A 12.1% Yield To Maturity
Portfolio Pulse from Benzinga Newsdesk
Air T, Inc. has completed a private placement of $4 million of its 8% Trust Preferred Securities at $17 per share, resulting in a 12.1% yield to maturity. The main purchasers were the company's largest shareholder and their affiliates. Additionally, these buyers have the option to purchase an additional $4 million of securities at the same price.
November 29, 2023 | 6:25 am
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POSITIVE IMPACT
Air T, Inc. has successfully raised $4 million through a private placement of securities, which may strengthen the company's financial position and signal confidence from its largest shareholder.
The completion of the private placement is likely to be viewed positively as it provides additional capital to Air T, Inc. and comes with a high yield to maturity, which could attract further investor interest. The involvement of the largest shareholder suggests strong insider confidence in the company's prospects.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100
POSITIVE IMPACT
The private placement of Air T's 8% Trust Preferred Securities may increase investor interest in AIRTP, especially given the attractive yield to maturity of 12.1%.
The news of the private placement and the option for additional purchase at the same terms could indicate a positive outlook for AIRTP, as it reflects a commitment from significant investors and offers a high yield, potentially making it more appealing to income-focused investors.
CONFIDENCE 85
IMPORTANCE 70
RELEVANCE 80