Sky Harbour Group Completes Equity Raise

By Tamara Parker • Monday, October 28 10:19 • Permanent Link

Sky Harbour Group Corporation (NYSE American: SKYH, SKYH WS) has successfully completed the initial closing of its equity raise, issuing 3,955,790 PIPE shares of class A common stock for aggregate net proceeds of approximately $37.58 million, at a net purchase price of $9.50 per share. This represents an increase of $5.7 million and 603,684 PIPE shares compared to the initially announced raise. The company has accepted additional subscriptions from existing and new long-term investors.

The financing includes the participation of investors from the company’s November 2023 PIPE, including affiliates of Altai Capital and Raga Partners, as well as Boulderado, the family office of SHG board member Alex Rozek.

Sky Harbour plans to leverage the potential proceeds from this PIPE financing, along with other cash on hand and the previously announced incremental $150 million in private activity debt financing, to support the phase 1 development projects at approximately 6-7 new airport campuses. This will add approximately 800,000 additional rentable square feet to the already funded approximately one million rentable square feet. The company aims to announce another eight ground leases by the end of 2025, bringing the portfolio to 22 airports.

The company's CEO, Tal Keinan, noted that this capital will fund Sky Harbour’s construction program through 2026, emphasizing that cash flow will increasingly serve as a significant portion of the company’s development equity needs.

In addition, Sky Harbour is confirmed to present at the 2024 LD Micro Main Event XVII, where its management team is scheduled to present on Tuesday, October 29th at 3:30-3:55 pm Pacific Time (PT). The presentation will be webcast live and available for replay.

Sky Harbour Group Corporation is an aviation infrastructure company developing the first nationwide network of home-basing campuses for business aircraft, and it aims to provide customers with the best physical infrastructure in business aviation, coupled with dedicated service tailored to based aircraft, offering the shortest time to wheels-up in business aviation. Following these announcements, the company's shares moved 2.1%, and are now trading at a price of $10.88. If you want to know more, read the company's complete 8-K report here.

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