United Airlines raises more than $1b in share sale

United Airlines has raised US$1.04b by selling new common stock, days after finalising a deal with the US govt for an aid package. The carrier said Tuesday that it had hired Morgan Stanley and Barclays to sell 39.25m new shares to investors, or roughly 14% of the airline’s expanded share capital. The shares priced at $26.50 each — a 5% discount from United’s closing price of $27.88, but at the top of a pricing range that started at $25.95 — according to a person briefed on the matter. Underwriters also have the option of offering another 3.9m shares based on investor demand, which could lift the overall capital raised to as much as $1.14b. United said it would use the capital for “general corporate purposes”. Shares in the company fell 2% in after-hours trading to $27.45. <br/>