Odyssey Airlines, a UK based airlines that will offer business class only, transatlantic flights, has passed the £1 million mark crowdfunding on Crowdcube. This represents 104% of their targeted raise on Crowdcube. As of today the amount stood at £1,049,230 for over 5% equity in the company.
Odyssey is currently doing a simultaneous equity crowdfunding round in the United States with a listing on Crowdfunder. The tandem offer on Crowdfunder stands at just 42% funded on a $1 million goal. Odyssey is seeking not only new capital to launch the new air carrier but hopes to raise the profile of the company using the high profile approach of equity crowdfunding.
Odyssey has already raised over £5M in seed capital, including having engaged Freedman & Partners to raise £2.185 million via the peer to peer lending platform ThinCats in 2013. Odyssey currently is planning on doing a £60 million funding round using a traditional institutional approach in early 2015. The pre money valuation, according to Crowdfunder, is stated at $34,000,000.
“We are delighted to have raised our primary target amount on Crowdcube. Beyond raising seed capital, the key objectives of our crowdfunding campaigns have been to raise the profile of Odyssey, develop a captive audience of long-term supporters and future customers, and to provide an opportunity for individuals to directly participate in the launch of an airline who would have otherwise been unable to do so in the past. We have achieved all of these objectives.”
“Odyssey is a truly innovative and modern business in all aspects, including its funding strategy. Achieving this important milestone is further evidence of that and investor confidence in our proposition. We would like to thank those who have invested in Odyssey so far; it’s an exciting time to be a part of the company.”
Odyssey wants to disrupt the current flying environment by providing business class only flights at a significantly lower cost to the current market. Recognizing that flying has become a torturous experience for most – even more so on long haul flights – Odyssey sees an opportunity in supplying a quality experience at a higher price than coach class on competitors but lower than the high fares associated with Business and First Class. Odyssey intends on offering “unrivaled transatlantic service” commencing with a London City Airport to New York City route using Bombardier CSeries jets with huge lie flat seats. Odyssey believes there is a significant market for “time sensitive passengers” interested in a superior service. Services are expected to commence from London City in 2016.
Odyssey Airlines is the very first cross border portal transaction but expectations are this will be the first of many. Sam Guzik, the US based securities attorney working on the transaction, stated;
“I expect that cross-border, portal-based transactions will proliferate over the coming years, and these transactions will be of varied shapes and sizes. With the Internet accelerating the flow of information globally, both investors and their capital will more easily migrate across national borders.”
(Editors Note: Sam Guzik is a Senior Contributor for Crowdfund Insider)
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