Wheels Up Raises Concern About Unable To Continue Operations In Absence Of Funding

Wheels Up Experience Inc UP disclosed being actively involved in discussions related to strategic business partnerships and warned about near-term concerns. 

The company received a short-term capital infusion from Delta Air Lines Inc DAL.

Also, Wheels Up penned a non-binding letter of intent with Airshare to sell its non-core aircraft management business.

These endeavors aligned with the company's aim to secure new strategic investments, raise capital, and execute previously disclosed strategic divestitures. 

Wheels Up said that if it is not able to secure additional funding in the near term, "there is substantial doubt about its ability to continue as a going concern for any meaningful period of time after the filing of this Form 12b-25".

The company postponed its previously scheduled earnings call, earlier scheduled for August 9.

The company plans to file its Form 10-Q by Monday, August 14, 2023. 

In June, Wheels Up issued a statement following speculative public reports that it has retained new strategic advisors amid bankruptcy rumors. 

Price Action: UP shares are trading lower by 5.77% at $1.47 premarket on the last check Thursday.