Hawaiian Airlines parent stock jumps after Amazon issued warrants to buy 15% of shares

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Shares of Hawaiian Airlines parent Hawaiian Holdings Inc. HA, +8.88% rallied 4.1% in premarket trading Friday, after the company said it issued Amazon.com Inc. AMZN, +3.53% warrants to buy up to 15% of its shares outstanding as part of an agreement to operate 10 cargo jets to provide logistics support for the ecommerce giant. As of Thursday’s stock closing price of $14.08, 15% of Hawaiian’s market capitalization would be worth about $108.5 million. Hawaiian said it will operate and maintain the initial fleet of 10 Airbus A330-300 freighters starting in the fall of 2023. To prepare for the services agreement with Amazon, Hawaiian said it plans to establish a pilot base on the continental U.S., grow its existing maintenance bases and expand the hiring of pilots, mechanics, dispatchers and supply chain employees. The rally in Hawaiian’s stock comes as the U.S. Global Jets ETF JETS, +1.52% inched up 0.1% in premarket trading and futures ES00, +2.63% for the S&P 500 SPX, +2.37% ticked up 0.2%.

This article was originally published by Marketwatch.com. Read the original article here.

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