Fastjet denies 'false and damaging' allegations

Africa's first low-cost carrier, fastJet, made a firm statement on Wednesday, in which it said it 'categorically refutes' claims made by Don Smith, the Chief Executive Officer of its Kenyan subsidiary, Fly540 Kenya, regarding an alleged unpaid consideration for the purchase of its interest in Fly540 Kenya and 'numerous other unsubstantiated claims made through the press in recent weeks'.

Africa's first low-cost carrier, fastJet, made a firm statement on Wednesday, in which it said it 'categorically refutes' claims made by Don Smith, the Chief Executive Officer of its Kenyan subsidiary, Fly540 Kenya, regarding an alleged unpaid consideration for the purchase of its interest in Fly540 Kenya and 'numerous other unsubstantiated claims made through the press in recent weeks'.

The group described the press reports as misleading, false and damaging.

Fastjet Chairman, David Lenigas, said: "fastjet is committed to conducting its business in an open, transparent and entirely legal manner through the proper channels. The company does not intend to continue rebutting false allegations through the press, but will take legal action over any further such claims.

"fastjet has paid Don Smith and his partners well in excess of $6.0m for their interest in Fly540 and associated brands and we will now aggressively seek to have our purchase contracts enforced."

He continued: "The company will not tolerate coercive and underhand practises. Issues created by Don Smith in Kenya have not and will not affect fastjet's overall plan of becoming Africa's first pan-continental low-cost carrier."

"The company's position in Kenya, just one small part of our overall expansion plan, has already been secured through its MoU with Jetlink, announced last week. We feel that Jetlink, which already has IOSA accreditation, is a far better Kenyan partner for fastjet given our standards of safety, security and reliability. Following an extensive review, we concluded that Jetlink would provide a better long term launch-pad for fastjet due to its superior infrastructure and accreditations to service and manage a fleet of modern large jet aircraft."

"Africa carries nearly 4.0% of global passenger air traffic, but unfortunately today accounts for nearly 25% of the world's aviation accidents. Our mission to bring safe air travel to the people of Africa requires high standards and constant vigilance that these are being met."

The share price rose 3.82% to 3.40p by 08:45.

NR

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