BATON RUGE, La., November 8, 2021 / PRNewswire / – Prescience Point Capital Management (“Prescience Point”), a research-based, catalyst-based investment company seeking high-risk, non-market-adjusted returns, has released an open letter to investors today. New, positive findings about AerSale Corporation (Nasdaq: ASLE) (“AerSale” or “Company”) publicly traded warranties.

Dear AerSale partners, warranty owners և other stakeholders.

in a research report published in October 27, 2021Prescience Point concludes that AerSale is one of the most underrated public companies we have ever seen. We continue to believe that Company shares can be doubled in a month through a number of short-term catalysts, including FAA approval A pre-order for AerAware, the Company’s game-changing wearable scarf, as well as our view that the Company should significantly increase its 2021 fiscal year guidance for its third quarterly conference Tuesday, November 9, 2021 թ.

Based on conservative assumptions, we believe that AerSale shares are worth it $ 47: today և will probably exceed $ 100: for the next two or three years.

We believe that there is currently confusion among investors as to when AerSale will be able to repay its public guarantees (Nasdaq: ASLEW). Our research over the past few weeks has clarified this issue, showing, quite definitively, that AerSale is prohibited by law from repaying its public guarantees in the past October 1, 2022. This is extremely positive for AerSale public warranty holders, not only because it means that warranties will be outstanding for about a year or more, but also because it means that The guarantees are currently underestimated. At the moment, the Company’s public guarantees are closely aligned with their intrinsic value, which means that the market is giving them the wrong time premium. We believe that these guarantees should include at least a one-time surcharge $ 1.00:.

Our conclusions are based on the following key findings:

  • The CARES Act included provisions for the Treasury (“Treasury”) to provide payments to certain airline contractors that would be used exclusively for the continued payment of employees’ salaries, wages and benefits.
  • During the epidemic, AerSale received salary assistance from the Treasury in three separate cases. The company has received: $ 16.4 million on: June 9, 2020 Under the Salary Support Program (PSP1), $ 5.5 million on: March 3, 2021 Wage Assistance Program Expansion (“PSP2”) և $ 5.5 million on: March 11, 2021 Under the American Recovery Program (ARP), which authorized the Treasury to provide additional salary assistance (PSP3) to contractors who received financial assistance under PSP2.
  • As part of the PSP3 agreement և ARP, AerSale was required to agree to this “Through September 30“2022… neither … the contractor nor his subsidiary, which does not enter into a transaction with the air carrier or the contractor, or the air carrier or the contractor with any direct or indirect capital of the parent company, which is listed on the National Stock Exchange.”
  • For USP 78c (a), PSP1, PSP2 և PSP3 purposes, “equity securities” are defined as: “Any stock or similar security, or any security of any such security, or any security that is converted, with or without account, of such security, or bears any guarantee or right to subscribe or purchase such security, or any such guarantee; or a right, or any other security, which the Commission deems to be of a similar nature, deemed necessary or expedient by such rules or regulations as it may establish in the public interest or the protection of investors, to be regarded as equity. «
  • As stated in the FAQs for PSP2, there are very limited cases that are excluded from the PSP1, PSP2 և PSP3 repurchase provisions, և none of these exceptions apply to the current state of AerSale.
  • While some publicly funded companies under CARES have repurchased shares and repaid public guarantees, these companies have received financial support under the PPP, which, unlike the PSP, does not sets explicit restrictions on redemption. equity securities.

Based on the above, we can not imagine a scenario where AerSale warranty is allowed under the PSP Charter or PSP Agreements until October 1, 2022. It is clear from each charter that non-compliance with the provisions may result in “any repurchase financial assistance provided in the event of failure” by the recipient complying with the repurchase provisions.

More worrying, however, is the potential for civil liability in connection with the repayment of a guarantee by AerSale or its subsidiary before October 1:, 2022. By signing PSP1, PSP2 և PSP3, AerSale acknowledged that any materially false, fabricated or misleading statement (or concealment or omission of a substantive fact) under this Agreement may result in administrative protections such as civil and / or criminal penalties. The Treasury was also very clear in each PSP agreement that it would not hesitate to report any inconsistencies or allegations of fraud, waste or abuse to the Treasury Inspector General.

We hope you find the AerSale Public Warranty information useful and informative. If necessary, we will provide the public with additional updates on these և other AerSale related issues on our site և Twitter: account

Warm wishes,

Eyad Asbahi, CFA:

Prescience Point Capital:

Prescience Point has a long position in AerSale shares և guarantees և can win if the stock price rises.

About Prescience Point Capital Management
Prescience Point Capital Management is a research-focused, catalyst-based investment company that seeks to obtain high adjusted returns on risks unrelated to the wider market. Unlike traditional investment strategies, we are free և we can opportunistically invest in global asset classes, vertical industries, capital structures. Whether investing in misunderstood assets, creating value through shareholder activity, or exposing fraud, we seek to capitalize on opportunities that others are missing out on or out of the tough mandates of most investment firms.

Our uniqueness lies in our willingness to go against our non-traditional thinking, in-depth research, intellectual curiosity, and overriding wisdom.

The company was founded by an investor Eyad Asbahi In 2009 և the head office is located in Button Rouge, Los Angeles.

For more information, visit www.presciencepoint.com or follow @PresciencePoint:.

Prescience Investment Group, LLC is a member of the Financial Industry Regulatory Authority, CRD No. 152721.

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