Ryanair eyes liquidity boost as it targets €400m from share issue

Ryanair is to launch a share issue aimed at raising gross proceeds of around E400m to help de-risk the group’s debt repayments and better position it to capitalise on fresh growth opportunities in the market. The low-cost carrier is to place new ordinary shares to institutional investors and certain others, in a placing that will be launched immediately through an accelerated bookbuild. In detailing its reasons for the new issue, Ryanair says the current challenging environment is likely to result in long-term impacts for the sector, which it expects will create opportunities for it to grow its network and fleet, and to take advantage of lower airport and aircraft cost opportunities. ”The placing is expected to help better position the group to move quickly to capitalise on such opportunities should they arise,” it says. ”As we look beyond the next year, we expect that there will be significant growth opportunities for Ryanair’s low-cost model as competitors shrink, fail or are acquired by government-bailed-out carriers.”<br/>