American Airlines Inc. (AAL) priced an offering of 74.1 million shares at $13.50 a share on Tuesday, moving to raise cash and bolster its liquidity position during the coronavirus pandemic. The airline also priced an offering of $1 billion of convertible bonds that mature in 2025 at 6.50%. The company upsized the deal from an original plan to offer $750 million of the notes. The roughly $2 billion in proceeds from the two transactions will be used for general corporate purposes and to boost liquidity. Shares were down 5% premarket and have fallen 48% in the year to date, while the S&P 500 has fallen 3.5%.
-Ciara Linnane; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
June 23, 2020 08:10 ET (12:10 GMT)
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