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LONDON, Sept 28 (Reuters) - British airline easyJet
said it had received acceptances from investors for 93% of the
new shares it sold as part of a 1.2 billion pound ($1.64
billion) fully underwritten rights issue designed to help fund
its recovery from the pandemic.
The airline announced the cash call, its second during 18
months of COVID-19, earlier this month, at the same time as
revealing it had rejected a takeover approach from an unnamed
suitor, believed to be low cost rival Wizz Air.
EasyJet's biggest shareholder, the family of founder Stelios
Haji-Ioannou, decided not to participate in the rights issue,
and their stake is set to reduce to around 15% from 25% when the
shares go live at 0800 GMT on Tuesday.
The founder has in the past clashed with management over its
growth plans.
EasyJet's chief executive, Johan Lundgren, said the extra
funds would enable it to take advantage of new opportunities
likely to arise as carriers like British Airways-owner IAG
, Air France-KLM and Lufthansa
retreat.
"The success of this capital raise, thanks to great support
from investors, will enable easyJet to strengthen its balance
sheet and accelerate its post-COVID 19 recovery plan," he said
in a statement on Tuesday.
The underwriting banks on the issue will now try to find
subscribers for the remaining 21 million shares not taken up by
shareholders in the 31 for 47 rights issue, and if they can't,
will subscribe for the stock themselves.
($1 = 0.7311 pounds)
(Reporting by Sarah Young; Editing by Kate Holton)