Southwest in discussions to raise new equity, debt

Southwest is in talks with lenders about raising billions of dollars in new equity and debt to bolster its balance sheet to weather the impact of the coronavirus pandemic, according to people with knowledge of the matter. The company is in discussions with banks about financing options that would result in billions of dollars of proceeds through the issuance of a mix of common equity, convertible notes and debt, said the people, who asked not to be identified because the matter is private. Southwest, which is slated to announced Q1 results Tuesday, could launch capital-markets transactions as soon as this week, the people said. The composition and terms of the financing package are in flux and a final decision has yet to be reached, they said. A Southwest spokesman declined to comment.<br/>