NEW YORK (TheStreet) -- Shares of Gogo (GOGO) - Get Report are surging by 20.19% to $11.58 on heavy trading volume early Thursday morning, after the company received a proposal to provide connectivity service. 

A "major" airline customer has asked the company to offer Wi-Fi to a "meaningful portion" of its domestic fleet, according to an SECfiling.

Gogo consequently has dropped its plans for an offering of $525 million in aggregate principal amount of 12% senior secured notes due 2022. The offering was scheduled to close today.

The company had planned to use the proceeds from the bond offering to refinance debt and for general corporate purposes such as "the launch and commercial rollout of Gogo's next-generation technology solutions," according to a May 18 statement.

Based in Chicago, Gogo is a provider of in-flight connectivity and wireless entertainment solutions for the aviation industry.

About 4.88 million shares of Gogo have been traded so far today, well above its average trading volume of roughly 1.34 million shares per day. 

Separately, TheStreet Ratings team rates the stock as a "sell" with a ratings score of D.

Gogo's weaknesses include its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, weak operating cash flow and generally high debt management risk.

You can view the full analysis from the report here: GOGO

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.

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