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This could be why no financials as everything would have to be disclosed? Lets see what happens....
The landscaped has definitely changed with the Xtra for sale news. Let me share my analysis and opinion on this and put myself in Tony and Frank's shoes.
Where we were.....
On Sept 1 a $1 million deposit was given to Songbird non refundable. I truly believe in order for a non refundable deposit to be given, the financing was in place, no one in their right mind will give that deposit and then try and find financing. Its just common sense and I relate it to the real estate business I am in. We dont go out buy a $6.5 million house and put a $1 million non refundable deposit then go out and try and get our financing, we put a $1 million refundable deposit insert a financing clause in the offer and home inspection clause. There is a thought on my mind here re the plane being the house, during the inspection of the plane did they find hidden defects that caused the deal to fall through? Just exhausting all options, might not have been but just saying....
Nov 30 the deal is dead and announced by Tony saying long term interest of shareholders etc but more importantly he said similar options or something to that effect. How much more similar than the Xtra opportunity before him now? Same Ceo, same one aircraft. So then I say to myself, is that where the $1 mill went? In the pr by Xtra they stated at the beginning of the PR yesterday, in negotiations.....how long have they been in negotiations and with whom?
Nov 30 to yesterday no news, deadsville, speculation is the company has lost Songbird and nothing else is on the table so they are quiet. Is this the true reality of them being quiet or have they been working on this deal...no one knows.
To summarize this Xtra opportunity is the best to date for BLTA imo. They have staff, they have routes, its a name change only with no start up costs so yes it is day and night opportunity compared to Songbird. I am gonna throw this out there for your own determination but am a businessman and my instinct tells me a deal might already be in the making between Xtra and BLTA. If I were Tony for sure I would see this in my face opportunity and go get it, if I were Frank I would review an offer from BLTA only to announce that Xtra is for sale and allow time ( April 30 ) to see what other offers I can get in the best interest for Xtra shareholders. In real estate, we sometimes hold offers for a week to determine market value if we get an offer in a short time, maybe this is what Frank is doing.
To me it would be a beautiful thing for Frank to award BLTA with its 29 yrs of trying and to remember Igor and award BLTA... Xtra. This is something in life that is not on paper its not in numbers, but it soothes the soul so to speak.
Re Tony and the financing hurdle for Xtra potentially .... I put myself in the financing group's shoes, Tony came to the financing group with Xtra with routes in place, staff in place and up for sale, chances are way better with this scenario for funding than if he came with nothing on the table or an airline that is parked. No staff no routes.
So you see, Xtra has BLTA written all over it as a fit, its not the financing that will be the obstacle imo, the success of this transaction will rest on the leadership team to get this done and make decisions or revise them based on Xtra getting an offer during the for sale til the end of April period.
Very interesting indeed, the above is speculation and BLTA may not be in at all, but from where I am sitting they are. Lets see what happens....
Re the financing hurdle.....Let me share my thoughts on this very important part of the process.
Although I am not from the aviation industry, my thoughts are the real obstacle is here and now before the certification. With BLTA 29 yrs of trying to make it work, this holds back most money guys from offering financing, they want security they want actions. BUT if the path is crystal clear some may jump in only imo if the end result is certification. Anyways, the real challenge is now before certification, after certification if it happens it will be all over the news as it is now that a 29 yr old airline never flys, but then it is flying would be the headline and imo money guys will most likely be knocking on Tonys door instead of him knocking on theirs. So the challenge is great, the reward is great if they can get past the pre certification stage.
Re Songbird - I personally think something negative happened during the Sept 1 to Nov 1 period for the financing not to be completed, imo it must have been in place prior to the non refundable $1 mill deposit given. It made no sense to me thinking on the surface that Songbird did not extend the expiry condition.
GLTA
Just maybe one of the reasons was that plane, if surprises came up, that the financing dropped? We dont know the details. I would pull the financing too if that was the case. Lets see what happens
Cert personally my opinion is the 29 yrs in the making only to never execute has money guys on the sidelines. Once executed I think those guys will support. Lets see what happens.
Started with prop which no one wants to fly and now has a fleet of 29 high quality props. So lets see what happens, personally I would rather fly jet than prop anyday. Dash 8 started in 1984.
Porter Airlines is a regional airline headquartered at Billy Bishop Toronto City Airport on the Toronto Islands in Toronto, Ontario, Canada.[1] Owned by Porter Aviation Holdings, formerly known as REGCO Holdings Inc., Porter operates regularly scheduled flights between Toronto and locations in Canada and the United States using Canadian-built Bombardier Dash-8 Q 400 turboprop aircraft.
Porter's operation at the Toronto airport was launched in 2006
So potentials on the table are then World Atlantic and Xtra and thats it?
B737-400, N417XA (msn 25417), that was to have been leased to Baltia post-transaction, is now being offered for sale or lease by AerSale.
Does anyone know if its still for sale?
Tony said in the PR....pursue an alternative to Songbird, other options similar to Songbird, confidentiality of relevant parties etc. Lets see what happens, we need execution!
30NOV2017
Baltia Air Lines, Inc. has announced that its proposed acquisition of Songbird Airways from its owner, AerLine Holdings LLC, has been called off.
In an SEC filing, the start-up carrier, also known as USGlobal Airways, said AerLine had sent a letter on November 22 informing Baltia that it had terminated the agreement as a result of Baltia’s failure to proceed with the closing as scheduled.
Under the original plan, Baltia was to have acquired Songbird Airways, along with its entire share capital, operating licences and certificates, from AerLine for USD6.5 million. The deal was to have closed by October 31.
As such, with the purchase's collapse, Baltia has also lost a USD1 million good-faith deposit paid to AerLine on September 1, 2017. A B737-400, N417XA (msn 25417), that was to have been leased to Baltia post-transaction, is now being offered for sale or lease by AerSale.
In a follow-up statement to shareholders, Baltia Chairman Anthony Koulouris said the board had decided to withdraw from the AerLine deal given their own reservations about its longterm benefit to the company. He also alluded to there being other options, similar to those with Songbird, that were available to Baltia.
"With your interests at heart, and so much at stake, we will not take any action if we are not 100% confident it is best for the company and for you. It is this frame of mind that motivated our decision to pursue an alternative to Songbird," he said. "Our Board of Directors met yesterday and unanimously decided to move forward with our revised approach. Due to the confidentiality of the relevant parties, we cannot go into more detail at this time."
And just like that we have an opportunity! Like I said many times when things look dead thats the time to consider to buy the stock. No news no financials deadsville etc maybe already priced in here. Lets see what happens.....
Champion Cert !!!!!!!!!!!!!!!!!
https://www.businesswire.com/news/home/20180326005841/en/AerLine-Holdings-Sell-XTRA-Airways
Cert do u know if the 737-400s are in service? Or parked in a hanger?
Very interesting developments time will tell if Blta takes part or not. Glta
From what you see Cert what do u think the other 3 are worth if for sale? Also with 3 not 10 would this be a better fit for BLTA given their position?
I know MM and others look for filings was there an Xtra filing? If so pls post here would be great I would interested to see details
So then is it possible to split a certifcate?
Cert I think you said they have 10 planes?
ok thxs for the insight on filings
MM thanks and yes that was part of the original agreement and plan a non refundable $1 mill. I was looking for an official specific filing by BLTA that they did indeed forfeit the $1 mill. If not a few things cross my mind.
1. Did they lose it
2. Did something change from the period Sept 1 to November, a condition or whatever so that the $1 mill was given back or is still in escrow pending a final decision
3. Did they use that deposit on another opportunity within the Aerline holding company, Cert said something about Xtra
I dont know if I am shooting blanks here but until I get the official word from a company PR " We did lose the $1 mill ", any of the above are possible in my opinion.
A few questions I have and hope to get the official answers from a PR:
1. $1 million deposit - Tony or any filing from BLTA never stated they lost the $1 million, it was under the original plan which might have been updated or revised? No one knows until we get the official word from the horses mouth.
2. Other options available to Baltia - if so did he see something that was more fruitful?
3. Relevant parties - whats up with that if just BLTA and Songbird? Are they talking to other parties?
4. Long term benefit to the company - Was Songbird if it did go through a short term gain then in a few months, bust?
30NOV2017
Baltia Air Lines, Inc. has announced that its proposed acquisition of Songbird Airways from its owner, AerLine Holdings LLC, has been called off.
In an SEC filing, the start-up carrier, also known as USGlobal Airways, said AerLine had sent a letter on November 22 informing Baltia that it had terminated the agreement as a result of Baltia’s failure to proceed with the closing as scheduled.
Under the original plan, Baltia was to have acquired Songbird Airways, along with its entire share capital, operating licences and certificates, from AerLine for USD6.5 million. The deal was to have closed by October 31.
As such, with the purchase's collapse, Baltia has also lost a USD1 million good-faith deposit paid to AerLine on September 1, 2017. A B737-400, N417XA (msn 25417), that was to have been leased to Baltia post-transaction, is now being offered for sale or lease by AerSale.
In a follow-up statement to shareholders, Baltia Chairman Anthony Koulouris said the board had decided to withdraw from the AerLine deal given their own reservations about its longterm benefit to the company. He also alluded to there being other options, similar to those with Songbird, that were available to Baltia.
"With your interests at heart, and so much at stake, we will not take any action if we are not 100% confident it is best for the company and for you. It is this frame of mind that motivated our decision to pursue an alternative to Songbird," he said. "Our Board of Directors met yesterday and unanimously decided to move forward with our revised approach. Due to the confidentiality of the relevant parties, we cannot go into more detail at this time."
Your absolutely correct! This is why it is very important for Tony to pr an executed plan rather than a path to a plan. I think the reply emails speak to that " we are focusing on our goals, any news will be posted on our website etc " I think Tony gets the message this time on 2 fronts. 1 being the past path to plan only to let us down 2 for competitive reasons
Lets see if and when we see concrete news, I would rather him say nothing knowing by the 2 8ks released in Feb that BLTA is still in business and working towards its goals than just another path to a maybe plan that in the end based on past performance and obstacles may never happen. If we do see an executed plan then sharesholders including himself will be rewarded as the current pps reflects deadsville. I personally really like that. Glta
Great summary by ph and mm this morning although negative I must say its the truth and it is what it is. Also adding to the negative environment is the silence from the company and is exactly why the stock price is where it is today. One can look at the current environment as terrible ( which most may ) or opportunistic? Personally, this is where the tremendous upside is but also comes with risk it going to zero, risk vs reward. Good luck.
Cert, we dont know the specifics and therefore are shooting darts in the dark. I am gonna give them a chance to execute. If they do execute, then it would be a helping hand and no need for mgmt changes. I do think we are at a pivotal point here, pressure I am sure is on. Lets see what happens with the current team, I really do believe Tony and team want to get this done and over with and move on to operations. I do admire his determination and never give up attitude, its that determination that has brought me to where I am today, many failures but learning from each and never giving up.
That part is debatable it doesnt have to be majority there are other ways of contribution without one holder owning 51%. I have a few ideas but again not there yet and may never have to be there. This I will say, I would be very interested in helping after a deal has been struck and executed, I am sure others would be too. Lets see what happens....
Possibly but considering I am not from that industry I would like to see a guy like you or others from that field with proven track records, either on the board or taking a mgmt position as part of my contribution plan. We are not there yet though lol. Another part is I would like to see John have a seat on the board.
I, at this point am taking a backseat on that front, I do have a few questions unanswered such as Songbird deal, Kalitta lease and a few others. The end of Nov release told me a few things and left a bit of hope in the air. Lets see what happens if anything here.
Ok thanks again.
Ok thanks.
Staying quiet is better than making promises he cant keep and have it thrown in his face. I would rather him stay quiet no promises and then if any concrete executed news of a deal, bring that to market.
In the past, many including myself have been let down but him saying something with enthusiasm then in the end let down. The credibility overhang is like a dark storm cloud and is holding back the company and the stock, keep your mouth shut Tony, I think your working on your goals so lets see what if anything you bring to the table.
This I will say, look at where the stock is and currently nothing on the table so it looks dead, thats a reflection of the current stock price. This is why some people sell and then others buy.
Lets see what happens in the end.
Is there an SEC filing requirement for a 1% of total outstanding shares held by one investor?
Currently is a 9.5 billion share float, but what is the actual float minus insider shares held, is it closer to 5 billion? Including Drago and all board members?
Ok thanks either there is an issue or Tony holding off to share bad news with good news, time will tell....
Rab your not alone, looks dead, near 52 week low, no financials, no news, could be the bottom here, time will tell......
Cert, in your opinion what's the holdup on the financials?
I question why Barry has not sold any shares. He has nothing to do with the company. If true this is a positive imo.
Fff you seem to be a records man. Can you share how many shares are owned by insiders of the current float? Yahoo and some others are outdated.
Ok thanks you could be your right. Tony did say they are ready I think he also said lawyer to sign off if so is that not past the accounting sign off stage?
Fff thats where the very high risk vs very high reward comes into play and yes I have been bottom fishing here with no news, looks dead etc.
I have always respected your posts let me ask you why the hold up you think on the fins?
Thank you and yes I agree with the history dark cloud thats affects other parties confidence and credibility issue that has to change. My hope is thats why we are not hearing anything this time.
1. Mainly - The whales
2. Mgmt team
Imo if I had a couple mill in this for years and have the opportunity to finally see this fly. Personally I would fund and or utilize my circle of friends or businesss associates to contribute to them merging and finally see the longshot come in. Thats just the way I see it. What would you do to make it possible if the dream is within arms reach? How would you position Blta so a merger is appetizing and therefore a possibilty?
We dont know whats going on thats for sure could be nothing or could be something. This we do know......its just too damn quiet, maybe for good reason or maybe not.
Cert always appreciate your professionalism and analysis, if this is a maybe path for Tony, time will tell I guess, I would rather pay alot more for something rather than $6 mill for nothing as you said crap in your opinion, that would end up dieing in the short term. If I was Tony, I would not only look here but at others of course, anything is possible if you have the determination imo.
Let me ask you, in your estimate and from what you see:
1. How much is alot more? $20 million?
2. If its too much for BLTA like $100 million, do you see a possible merger here?
3. How does Songbird differ from the sister airline?
Thanks in advance for your input.