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Aeromexico completes IPO

15-Apr-2011 12:02 PM

Aeromexico announced it raised MRX3.9 billion (USD330 million) in an IPO as it sought to consolidate market leadership after its main competitor Mexicana filed for bankruptcy (Bloomberg/Reuters, 13-Apr-2011). The carrier sold 109 million shares on 14-Apr-2011 and priced them at MRX31 (USD2.6) each. The stock fell 0.9% to 30.72 pesos at 16:00 New York time in Mexico City trading. Aeromexico CFO Ricardo Sanchez Baker stated the sale generated demand that was twice the offering. The company plans to use the money raised as part of its two-year, USD1.3 billion plan to boost its cash position to about 15% of revenue and buy more aircraft. [more - Spanish]