Finnair is planning for an approximately 500-million-euro rights offering due to the COVID-19 impact

The Board of Directors of Finnair Plc has resolved that the company commences preparations for a rights offering (“the Offering”) due to losses caused by the coronavirus situation, which have decreased the company’s equity. The amount of the Offering would total up to approximately 500 million euros. Citigroup Global Markets Limited and Nordea Bank Abp (“the Joint Global Coordinators”) would act as the Joint Global Coordinators, lead managers and underwriters of the Offering.

The Finnish Government’s Ministerial Committee on Economic Policy has supported that a supplementary budget, which would cover participation of the State of Finland in the Offering, is proposed to the Finnish Parliament. The State of Finland currently holds 55.8% of the shares and votes in Finnair Plc.

An authorisation for the Offering will be sought for in the Annual General Meeting 2020, which is to be held at the end of May 2020. Further information regarding the Offering will be provided in the notice to the Annual General Meeting which will be published later.

“The coronavirus has had an unprecedented impact especially on global aviation and also on Finnair. We want to ensure with this share issue that Finnair is a competitive airline also in the future by significantly strengthening the equity”, says Topi Manner, Finnair’s CEO.