Qantas raises AUD500 million, shares slump

Qantas has successfully completed an institutional placement of new shares, raising AUD500 million (USD322 million) to bolster its balance sheet amid the global economic recession. The shares were placed at AUD1.85 per share - a 17% discount to the closing price of AUD2.29 per share. The discount was steep - but probably not as savage had Qantas waited longer to tap the market for funds, given the expected stampede for fresh capital as the economy deteriorates.