Tennenbaum Closes Mesa Air $30MM Working Capital Draw Loan



Mesa Air Group announced it closed on a $30 million working capital draw loan through Tennenbaum Capital Partners. The funds are available for up to two years and have a five-year term.

The funds will be used to support current aircraft purchases and growth-related expenses as well as anticipated future growth opportunities. In the past sixteen months Mesa has added 19 CRJ 900 aircraft to be operated for American Airlines and 6 Embraer 175 aircraft to be operated for United Airlines with an additional 24 Embraer 175 aircraft being delivered over the next 24 months.

“This is an important step in our long-term growth plan as we continue to ‘fund the future’ with a strong financial base and the ability to finance aircraft in today’s challenging market,” said Mesa Chairman and CEO Jonathan Ornstein. “We are in a unique position in the industry with long-term contracts with our mainline partners for 107 high-demand CRJ 700/900 and E175 regional jets.”

Imperial Capital acted as the exclusive financial advisor to Mesa in sourcing the financing. Mesa was represented by DLA Piper in the closing of the aforementioned financing and Tennenbaum Capital Partners was represented by Hughes Hubbard and Reed LLP.

Phoenix-based Mesa Airlines operates as US Airways Express and American Eagle from Charlotte and Phoenix and as United Express from Washington Dulles, Chicago and Houston.


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