SkyLink Aviation recapitalises after failing debt repayments

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Industry players have expressed shock that SkyLink Aviation, an asset-light Canadian company which specialises in military and humanitarian contracts, has filed for protection from its creditors. Using the Companies’ Creditors Arrangement Act the business is attempting to recapitalise after amassing debts of $149.42m ? including $7.7m relating to “ordinary course trade and employee obligations”.

According to court documents filed in Ontario, the company has “no reasonable expectation that in the near term [it] will be able to generate sufficient cash flow ...