Kingfisher Airlines confirms plans to raise USD600 million fresh equity

Kingfisher Airlines CEO, Vijay Mallya, confirmed the carrier's plans to raise up to a total of USD600 million in the current fiscal year, ending 31-Mar-2010 (The Hindu Business Line, 09-Nov-2009). The fund raising will be split between USD400 from private equity investors, USD100 through a rights issue and USD100 through global depository receipts (GDR). Mr Mallya stated the carrier would "certainly use a large part of that to reduce debt" (Reuters, 09-Nov-2009). Mr Mallya added Kingfisher is interested in expanding its international route network given approval from the Indian Government.

Kingfisher Airlines: "We are moving ahead with our plans of private equity investment. We are in talks with private equity players to raise USD400 million and negotiations are in the advanced stages. We have also taken shareholders' nod for raising 0 million through rights issue and 0 million through GDR," Vijay Mallya, CEO. Source: The Hindu Business Line, 09-Nov-2009.