IAG proposed Capital Increase

About this update from International Consolidated Airlines Group Sa

[{"type":"text","content":"\n \n \n RNS Number : 7347U\n International Cons Airlines Group\n 31 July 2020\n  \n \n \n \n \n NOT FOR DISTRIBUTION, RELEASE OR PUBLICATION, DIRECTLY OR INDIRECTLY, IN OR INTO THE UNITED STATES (INCLUDING ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES AND THE DISTRICT OF COLUMBIA), \n \n \n AUSTRALIA\n \n \n , CANADA, HONG KONG, JAPAN, NEW ZEALAND, SINGAPORE, SOUTH AFRICA, SWITZERLAND OR THE UNITED ARAB EMIRATES, OR ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION, RELEASE OR PUBLICATION WOULD BE RESTRICTED OR PROHIBITED. OTHER RESTRICTIONS ARE APPLICABLE. PLEASE SEE THE IMPORTANT NOTICE AT THE END OF THE ANNOUNCEMENT.\n \n \n \n THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION. \n \n \n FOR IMMEDIATE RELEASE \n \n \n 31 July 2020\n \n \n International Consolidated Airlines Group, S.A.\n \n \n  \n \n \n Proposed Capital Increase of up to €2.75 billion\n \n \n  \n \n \n Strengthening IAG's Financial and Strategic Position for the Future\n \n \n  \n \n \n International Consolidated Airlines Group, S.A. (\"IAG\", the \"Company\" and, together with its subsidiaries, the \"Group\") today announces its proposal to undertake a capital increase with pre-emptive subscription rights to raise gross proceeds of up to €2.75 billion (the \"Proposed Capital Increase\"). Qatar Airways Group (Q.C.S.C) (\"Qatar Airways\"), IAG's largest shareholder (25.1 per cent. holding), has confirmed its support for the Proposed Capital Increase and irrevocably undertaken to subscribe for its pro rata entitlement. The remainder of the Proposed Capital Increase is fully underwritten on a standby basis.\n  \n Key Highlights\n  \n • The Proposed Capital Increase will strengthen IAG's balance sheet by reducing financial leverage and increasing IAG's overall liquidity position.\n  \n • IAG has a proven and successful operating model underpinned by its portfolio of world-class brands, global leadership positions in each of its home markets and unique structure. The Group has a strong track record of value-enhancing consolidation and delivering value to shareholders through industry-leading returns and growing profitability.\n  \n • IAG acted quickly to mitigate the impacts of the COVID-19 pandemic, bolster liquidity and to protect its long-term future. These actions preserved cash through a range of measures i...

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