LONDON (UK) – In a bid to bolster its finances ravaged by the lockdown, budget airline easyJet has raised about 419 million pounds through a share placing.
The new equity is expected to boost its liquidity to about 3 billion pounds, easyJet said, enabling it to survive for many more months even if planes are grounded again.
EasyJet’s planes returned to the air in mid-June, but with a minimal service. On Thursday, it said it would resume services to Paris, Barcelona and Milan from Britain from July 1, as it restarts services from Manchester and London’s Luton airport.
The airline is hoping to ramp up flying as the year goes on, but demand is being hampered by UK quarantine rules and wary consumers.
Airlines are hoping the UK agrees on travel deals with other countries to allow restriction-free movement between some European countries. A review of quarantine rules is due on June 29.
EasyJet said it had placed a total of 59.5 million new ordinary shares at 703 pence apiece, after announcing the move late Wednesday.
Its shares were down 5.4% to 699.9 pence at 0915 GMT on Thursday. They have approximately halved in value since the start of the year.
(Photos syndicated via Reuters)
This story has been edited by BH staff and is published from a syndicated field