Fastjet shares slumped to 1.81 pence today as the company’s RNS announcement highlights that they only have sufficient funding for a few more days operating:
Fastjet Funding Update
Basically, it is able to continue operating beyond the end of October due to some improvement in trading and cash generation. As at 24 October 2018, the Group had cash balances of US$ 3.4m, of which US$ 2.7m is restricted cash held inside Zimbabwe.
Whilst discussions to date with certain shareholders and creditors have been positive, discussions are ongoing and there can be no guarantee of a successful outcome. If the Company is unable to carry out an equity fundraise and/or reach an agreement with its key creditors in the coming days, the Group would be unable to continue trading as a going concern.
Further announcements will be made as appropriate.
It’s not looking good. I just feel sorry for all the employees who have no idea what the future holds for them