American Airlines expects to raise about $2b in upsized stock, notes offering
American Airlines said Tuesday it expects to raise about $2b through a stock-and-notes offering in an effort to bolster its balance sheet to better deal with a slowdown in travel due to the COVID-19 crisis. The company plans to offer 74.1m shares of its common stock priced at $13.50 per share, representing a 15.6% discount to Friday’s close, the last trading day before the company announced its plan to secure $3.5b in new financing. American also said it would offer $1b in convertible senior notes with 6.5% coupon rate due 2025 in public offerings. The deal size increased from $1.5b in equity and convertible bonds as announced on Sunday. The carrier still plans to offer $1.5b in senior secured notes and intends to enter into a new $500m term loan facility due 2024.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2020-06-24/oneworld/american-airlines-expects-to-raise-about-2b-in-upsized-stock-notes-offering
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American Airlines expects to raise about $2b in upsized stock, notes offering
American Airlines said Tuesday it expects to raise about $2b through a stock-and-notes offering in an effort to bolster its balance sheet to better deal with a slowdown in travel due to the COVID-19 crisis. The company plans to offer 74.1m shares of its common stock priced at $13.50 per share, representing a 15.6% discount to Friday’s close, the last trading day before the company announced its plan to secure $3.5b in new financing. American also said it would offer $1b in convertible senior notes with 6.5% coupon rate due 2025 in public offerings. The deal size increased from $1.5b in equity and convertible bonds as announced on Sunday. The carrier still plans to offer $1.5b in senior secured notes and intends to enter into a new $500m term loan facility due 2024.<br/>
