RE:RE:RE:RE:RE:RE:financingI think you all had better read that a lot closer. In a layman's Readers Digest version, Smartlynx has only committed to purchase $7.5 million worth of shares @ $0.33 per share (what is the present price?) if Jetlines first raises $40 million in funding and receives their commercial airline license.
So Smartlynx is not offering foundation funding to help get them into the air, they are offering to purchase $7.5 million worth of shares @ $0.33 if Jetlines does makes it into the air.
So a good analogy would be that they are only willing to pay for a lotto ticket if they are first allowed watch the draw to see if the ticket is a winner or not. If the ticket is a winner then they will have the right to purchase that ticket at a discount to the regular ticket price. I have got to say that Smartlynx is an appropriate name for them.
The Offering will consist of 22,727,272 subscription receipts of the Company (“Subscription Receipts”) at a price of $0.33 per Subscription Receipt (the “Offering Price”), for gross proceeds of $7.5 million.
Each Subscription Receipt will entitle SmartLynx to receive, without payment of additional consideration or further action on the part of the holder, one unit of the Company (each a “Unit” and collectively the “Units”), upon receipt by the escrow agent, prior to August 31, 2019 (the “Deadline”) of a release notice from the Company and SmartLynx (the “Release Notice”), confirming that: (a) the Company has raised additional gross proceeds of $40 million (the “Funding Milestone”) from a subsequent financing by May 31, 2019 (such completion date subject to waiver by SmartLynx); (b) the receipt by the Company’s subsidiary, Canada Jetlines Operations Ltd. (“Jetlines Operations”), of its air operator certificate from Transport Canada;