27-Mar-2020 8:15 AM

SIA Group planning to raise USD3.7bn through 10 year mandatory convertible bonds

Singapore Airlines Group (SIA) announced (26-Mar-2020) plans to offer all shareholders SGD5.3 billion (USD3.7 billion) in new equity and up to a further SGD9.7 billion (USD6.8 billion) through 10 year mandatory convertible bonds. Both will be offered on a pro rata basis via a rights issue, and both issuances will be treated as equity in the company's balance sheet. SIA has also arranged a SGD4 billion (USD2.8 billion) bridge loan facility with DBS Bank, supporting the company's near term liquidity requirements. It intends to use the proceeds from the rights issues to fund capital and operational expenditure requirements. SIA's largest shareholder Temasek Holdings will vote in favour of the resolutions and procure a subscription for its full entitlement and the remaining balance of both issuances. [more - original PR]

Want More News Like This?

CAPA Membership provides access to all news and analysis on the site, along with access to many areas of our comprehensive databases and toolsets.
Find Out More