JetBlue Airways hopes to raise $125 million in an initial public offering (IPO), two years after the low-fares startup began flights from New York Kennedy airport. It had planned an IPO or flotation just before the September attacks.
Despite the downturn, JetBlue has posted profits and expanding service, even as most US carriers continue to struggle. David Menlow, president of website IPOfinancial.com, said the JetBlue offering is likely to revive interest in the offering of ExpressJet, the Continental Airlines regional unit, which had also been set for public offering just before the attacks. "It's certainly a sign the recession is ending," he says.
The flotation is likely to benefit JetBlue's private equity investors including Soros Private Equity Partners, which backed JetBlue's $130 million start-up funds, and more in two later infusions.
Source: Airline Business
