Could 3 (Reuters) – Singapore Airways Ltd SIAL.SI mentioned on Monday it had raised about S$2 billion ($1.50 billion) by way of sale-and-leaseback offers for 11 of its planes to assist bolster liquidity because it grapples with the pandemic-related plunge in journey.
The airline mentioned it will proceed to discover different methods to boost liquidity after reaching offers with 4 events over seven Airbus SE AIR.PA A350-900s and 4 Boeing Co BA.N 787-10s.
Rivals resembling Cathay Pacific Airways Ltd 0293.HK and Qantas Airways Ltd QAN.AX have performed related offers throughout the pandemic.
“The extra liquidity from these sale-and-leaseback transactions reinforces our potential to navigate the affect of the COCVID-19 pandemic from a place of energy,” Singapore Airways Chief Government Goh Choon Phong mentioned in a press release.
Singapore Airways mentioned it had entry to greater than S$2.1 billion of undrawn credit score strains and an choice to boost as much as S$6.2 billion in convertible bonds earlier than its annual assembly in July 2021.
The airline lacks a home market and has been hit arduous by the digital halt to worldwide passenger journey due to border controls and quarantine measures.
Singapore Airways reported a 99.6% decline in passenger numbers in April relative to the prior 12 months.
($1 = 1.3294 Singapore {dollars})
(Reporting by Jamie Freed in Sydney. Modifying by Gerry Doyle)
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