HomeTravel NewsAir France-KLM Set To Repay Pandemic Crisis Funding After Raising €2.25bn In...

Air France-KLM Set To Repay Pandemic Crisis Funding After Raising €2.25bn In Share Sale

Air France-KLM has raised over €2.25bn, through a share sale, with the money set to be largely used to repay the French government for financial aid awarded to help the airline group cope during the Covid crisis.

In all, Air France-KLM will use around €1.7bn of the money to repay the French state, with the remainder being used to pay down additional debt and cover other financial costs.

Logistics firm CMA-CGM has amassed a 9% stake in Air France-KLM through taking part in the share sale. The shareholding of China Eastern Airlines has been diluted to 4.7% from 9.6% and Delta Air Lines currently has a 2.9% stake in Air France-KLM. The equity stakes held by the French and Dutch governments remain unchanged.

“The success of our capital increase is a strong demonstration of the confidence that our existing shareholders and new investors have in the prospects of Air France-KLM”, Air France-KLM group chief executive, Benjamin Smith said.

Geoff Percival
Geoff Percival
Geoff has worked in business, news, consumer and travel journalism for more than 25 years; having worked for and contributed to the likes of The Irish Examiner, Business & Finance, Business Plus, The Sunday Times, The Irish News, Senior Times, and The Sunday Tribune.


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