Air T Announces It Will Not Extend the Warrants (AIRTW) to Purchase Alpha Income Preferred Securities (AIRTP) Beyond August 30, 2021

Rhea-AI Summary

Air T, Inc. (NASDAQ:AIRT) has announced that its Warrants (NASDAQ:AIRTW) to purchase Alpha Income Preferred Securities (NASDAQ:AIRTP) will expire on August 30, 2021, without further extension. The expiration timeline leaves only 42 trading days for warrant holders to exercise their rights, which allows the purchase of Trust Preferred securities at $24.00, below its recent trading value of $25.00. Each Warrant grants the right to buy one-tenth of a share of AIP for $2.40. More information can be found in the company's prospectus on the SEC's website.

Positive

• Warrants (AIRTW) provide a 4% discount to the AIP stated value of $25.00.
• Trust Preferred securities (AIRTP) trading at or above $25.00 on 24 of the last 30 trading days suggests market stability.

Negative

• The warrant expiration could limit investor opportunities for AIRTW holders.
• No extensions could indicate a lack of confidence in the future appeal of the AIP securities.

Warrants (AIRTW) to purchase Alpha Income Preferred Securities (AIRTP) will expire August 30, 2021, as previously announced

DENVER, CO / ACCESSWIRE / June 23, 2021 / Air T, Inc. (NASDAQ:AIRT), announced today that the Warrants ("Warrants") (NASDAQ:AIRTW) to purchase its Alpha Income Preferred (AIP) securities of Air T Funding (NASDAQ:AIRTP) will not be extended.

After two generous extensions, the Warrants will expire as scheduled on August 30, 2021. This leaves only 42 trading days until the Warrants expire. AIRTW holders can buy 8% Trust Preferred securities (NASDAQ: AIRTP) for $24.00. The Trust Preferred securities have closed at or above $25.00 on 24 of the last 30 trading days.

Each Warrant is exercisable for one-tenth of a share of AIP for $2.40. Therefore, each ten (10) Warrants confer upon the holder the right to purchase one (1) full share of AIP for $24.00, representing a 4% discount to the stated value of $25.00 for one share.

The offering of AIP upon exercise of the Warrants is made only by means of a prospectus. Copies of the final prospectus relating to the offering, which is included in Air T's registration statement on Form S-1 (File Nos. 333-228485 and 333-228485-01), and the prospectus supplements dated June 9, 2020, September 2, 2020, January 11, 2021 and May 14, 2021, may be obtained for free by visiting EDGAR on the SEC's website at www.sec.gov.

Alternatively, copies of the prospectus and prospectus supplement may be obtained for free from Katrina Philp, Chief of Staff, Air T, Inc., telephone (612) 405-5896, email kphilp@airt.net.

ABOUT AIR T, INC.

Established in 1980, Air T Inc. is a portfolio of powerful businesses and financial assets, each of which is independent yet interrelated. Its core segments are overnight air cargo, aviation ground support equipment manufacturing, and commercial aircraft asset management and logistics. We seek to expand, strengthen and diversify Air T's after-tax cash flow per share. Our goal is to build Air T's core businesses, and when appropriate, to expand into adjacent and other industries. We seek to activate growth and overcome challenges while delivering meaningful value for all stakeholders. For more information, visit www.airt.net.

CONTACT
Air T, Inc.
Brian Ochocki, CFO
bochocki@airt.net
612-843-4302

SOURCE: Air T, Inc.

View source version on accesswire.com:
https://www.accesswire.com/652840/Air-T-Announces-It-Will-Not-Extend-the-Warrants-AIRTW-to-Purchase-Alpha-Income-Preferred-Securities-AIRTP-Beyond-August-30-2021

FAQ

What is the expiration date for the AIRTW Warrants?

The AIRTW Warrants will expire on August 30, 2021.

What can holders do with AIRTW Warrants before they expire?

Holders can purchase Trust Preferred securities (AIP) at $24.00 per share.

What is the discount provided by the AIRTW Warrants?

The Warrants provide a 4% discount from the stated value of $25.00.

How long do AIRTW holders have to exercise their Warrants?

Holders have 42 trading days remaining to exercise their Warrants.

Where can I find more information about Air T, Inc. and its securities?

More information can be found in the final prospectus on the SEC's website at www.sec.gov.