MEXICO CITY, Sept. 9, 2020 /PRNewswire/ -- Volaris*
(NYSE: VLRS and BMV: VOLAR), announces a summons for an
extraordinary general shareholders meeting to be held on
September 18, 2020.
Volaris intends to raise up to MXN3.5 billion Mexican pesos
in order to strengthen its capital position and take advantage of
potential growth opportunities. Therefore, Volaris is evaluating
different financing alternatives and is requesting shareholder
approval for the issuance of new shares that can be used to raise
capital through, among other things, a rights offering, the
outright sale of shares, or through the issuance of
debt/convertible debentures. Any such offering could be carried out
individually or in conjunction with other transactions for a period
of up to 12 months from the date shareholder approval is obtained.
The final terms and conditions of any such offerings will be
delegated to the Board of Directors and will be based on the
prevailing market conditions at the time of offering.
Volaris continues to focus on liquidity preservation and
generation, ensuring continued balance sheet strength
which will give the Company what it believes to be a significant
competitive advantage. The net proceeds from the capital raise are
intended to further enhance Volaris' liquidity position to face a
challenging and uncertain operational environment due to the
COVID-19 pandemic and are expected to provide Volaris with greater
financial flexibility to move quickly to capitalize on
opportunities that will help improve the position of the Company in
the aviation market.
While the domestic market capacity is shrinking by around a
third due to restructuring processes at other Mexican carriers, the
Volaris ultra-low-cost business model has allowed the company to
ramp-up more quickly and strengthen its competitive position. As a
result of recent changes in the marketplace, Volaris expects the
additional capital from such a capital raise will allow it to take
advantage of potential opportunities to grow its network and
expand its fleet.
A courtesy English translation of the shareholders' meeting
agenda and related information are attached as exhibits.
The information included does not provide information on the
company's future performance. Volaris' future performance depends
on many factors and it cannot be inferred that any period's
performance or its comparison year over year will be an indicator
of a similar performance in the future.
About Volaris:
*("Volaris" or the "Company") (NYSE: VLRS and BMV: VOLAR), is an
ultra-low-cost carrier (ULCC), with point-to-point operations,
serving Mexico, the United States and Central America. Volaris offers low base fares
to build its market, providing quality service and extensive
customer choice. Since beginning operations March 2006, Volaris has increased its routes from
five to more than 142 and its fleet from four to 83 aircraft.
Volaris offers more than 304 daily flight segments on routes that
connect 41 cities in Mexico and 21
cities in the United States with
one of the youngest fleets in The Americas. Volaris targets
passengers who are visiting friends and relatives, cost-conscious
business and leisure travelers in Mexico and in selected destinations in
the United States and Central America. Volaris has received the ESR
Award for Social Corporate Responsibility for eleven consecutive
years. For more information, please visit: www.volaris.com
Investor Relations contact: María Elena Rodríguez
& Andrea González/ Investor Relations / ir@volaris.com / +52 55
5261 6444
Media contact: Gabriela Fernández / volaris@gcya.mx / +52
55 5246 0100
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SOURCE Volaris