Garuda Indonesia seeks $936 mln from rights issue after debt restructuring

Indonesia’s state airline Garuda Indonesia is seeking $936m from a rights issue that will be held after it completes its court-led debt restructuring, according to its chief executive Irfan Setiaputra. The debt restructuring is expected to be finalised by May 20, and the company hopes the rights issue will be completed “this year”, Irfan said. The rights issue will be done in two stages, business news website Kumparan reported, citing a document from a parliamentary taskforce overseeing the restructuring process. The first round will be held in September to raise $527 million to accommodate the recently approved 7.5t rupiah state-capital injection, and the second round near the end of 2022 at $409m for a “strategic investor”. The funds will be used towards the costs of restructuring, restoration, and for plane leases among others, it added.<br/>