Ryanair eyes euro bond in test of virus impact on airline debt

Ryanair Holdings is readying its first euro-bond sale since 2017, testing investor appetite for high-grade airline debt amid coronavirus travel upheavals. Europe’s biggest discount carrier will speak to investors on Monday about a potential five-year bond of at least E500m, according to a person familiar with the matter. CFO Neil Sorahan will lead the call. The Irish carrier recently signalled plans for a bond sale as it seeks to pare debt-repayment risks over the next 12 months, as well as positioning itself to potentially profit from the shrinkage or failure of rivals due to virus travel disruptions. The airline, which sold E400m of new stock last week, has held onto investment-grade ratings during the virus turmoil in contrast to competitors. Ryanair has E2.45b of bonds outstanding, including an E850m note coming due in June, according to data compiled by Bloomberg. The carrier is rated BBB, two steps above junk, at both S&P and Fitch. Both assessors have flagged ratings risks.<br/>