Travel Industry News at TravelNewsAsia.com since 1997. Interviews, podcasts, videos, pictures and more
Wed, 19 May 2021

Singapore Airlines to Raise SG$ 6.2 Billion via Mandatory Convertible Bonds

Singapore Airlines is proposing to undertake the issuance of the second tranche of Mandatory Convertible Bonds (Rights 2021 MCBs), which will raise approximately S$6.2 billion (approximately US$4.65 billion) in additional liquidity.

Shareholders can participate in the recovery and future growth of the SIA Group by subscribing to the Rights 2021 MCBs.

Temasek, SIAs largest shareholder, has provided an undertaking to subscribe to its pro-rata entitlement and any remaining balance of this issuance.

The terms of the Rights 2021 MCBs are as approved by shareholders at the companys Extraordinary General Meeting on 30 April 2020, and renewed at the companys Annual General Meeting on 27 July 2020.

Singapore Airlines Airbus A350-900 reg: 9V-SMH. Picture by Steven Howard of TravelNewsAsia.com Click to enlarge.

Entitled shareholders will be offered on a pro-rata basis the rights to subscribe to 209 MCBs for every 100 existing shares that they hold at the record date. The MCBs will be treated as equity in the companys balance sheet, strengthening SIAs financial position.

The MCBs are not immediately dilutive and will provide the company with the flexibility to manage its capital structure, with partial or full redemption allowed on every six-month anniversary of the issue date at the companys discretion.

The holders will be entitled to a yield that accretes and will be payable at the point of any redemption. The MCBs will be automatically converted to ordinary shares if they are not redeemed prior to the maturity date.

The issuance will allow the SIA Group to maintain a strong equity base and provide it with additional options moving forward to raise further debt financing as necessary. It further strengthens the groups financial foundation to navigate the crisis, and enables it to make the necessary investments to secure its industry leading position.

Singapore Airlines Chairman Peter Seah said, Since 1 April 2020, we have raised S$15.4 billion in fresh liquidity that has given us a strong foundation as we navigated the challenges posed by the Covid-19 pandemic with the support of our  stakeholders.

However, this crisis is not over. While the growing pace of vaccinations has given us hope, new waves of infections around the world mean that restrictions on international travel largely remain in place. The SIA Group has grown its passenger capacity and resumed selected services in a safe and calibrated manner, but industry bodies forecast that air traffic is not expected to recover to pre-COVID19 levels until 2024.

The liquidity that we will raise through the MCBs will further strengthen our financial position during these uncertain times, while providing the resources to position the SIA Group for growth and leadership. We have worked hard to retain  and prepare our talented people to continue delivering the world-class service that SIA is renowned for. We will also continue to modernise our fleet with new generation aircraft that allow us to deliver greater comfort and innovative products to customers, and help to drive operating efficiency and lower carbon emissions.

Further details of the MCBs will be made available in the Offer Information Statement, which is expected to be lodged with the Monetary Authority of Singapore on 28 May 2021.

See latest Travel Industry News, Video Interviews, Podcasts and other news regarding: COVID19, SIA, Singapore Airlines, Changi, Singapore.

Headlines: Minor Hotels Signs First NH Collection Hotel with a Beach Club  Bangkok Airways to Launch Double Daily Sealed Flights Between Bangkok and Phuket  Dara Hotels Group Appoints Weng Aow as Managing Director  WTTC Changes Date of Global Summit in Manila, Philippines  CWT Becomes a Launch Partner for Etihad's Corporate Conscious Choices  SWISS Takes Delivery of First A320neo with Airspace Cabin  Airbnb to Launch Travel Insurance Product  World Rugby Changes Dates of Canada and Los Angeles Sevens Events  350 Delegates Expected to Attend ASEAN Tourism Forum 2022 in Cambodia  BCD Publishes Report on Business Travel Trends for 2022  AirAsia Launches Xpress Parcel Delivery Service in Bangkok, Thailand  Marriott Signs First W Hotel in Greece  Priority Pass Expands App with CarTrawler Partnership  Swire Hotels Upgrades Digital Experience  BA to Launch Flights from LCY to Barcelona, Luxembourg, Milan and Thessaloniki  Boeing Expands Partnerships with German Industry  Travel Risk, COVID19 and Gopass Global - Interview with Mark Radford, CEO  AirAsia Malaysia Expands Domestic Network with New Routes  IHG Takes Over Management of 5-Star Resort in Bali, Indonesia  Singapore Airlines Extends and Expands PPS Club, KrisFlyer Benefits  IATA Reports Global Passenger Traffic for November 2021  Aernnova to Acquire Embraer Industrial Plants in Evora, Portugal  Finnair Cuts 20% of Flights in February  Munich Airport's Latest Statistics Highlight Pent Up Demand for Air Travel  Accor Opens 22nd Novotel Hotel in Thailand  Sabre Expands SafePoint Travel Risk Management Solution  Airlines in Asia Pacific Report Improvement in Passenger Demand  Growth in Global Air Cargo Markets Slows in November  Falko Regional Aircraft Signs eVTOL LOI with Eve  GKN Aerospace Selected as Partner on Gulfstream's New G400 and G800 Jets  Vincent McGrath Returns to UK as Hotel Manager of The Dorchester  World Rugby Appoints Charlotte Samuelson as Chief Operating Officer  Singapore Airlines and NUS Establish Digital Aviation Corporate Laboratory  Minor Hotels Expands Avani+ Brand to Koh Lanta, Thailand  AirAsia to Launch Remote Drone Pilot Training in Malaysia  Azorra Orders 20 A220-300s and 2 ACJ TwoTwenty Aircraft  Phuket Home to Banyan Tree's New Hotel Brand, Homm  Rosewood Opens First Hotel in South America  Marriott Signs W Hotel in Studio City, Macau  France Orders 10 H160s in a Law Enforcement Configuration  Ascott Secured 15,100 Units Across 72 Properties in 2021  FCM Launches Fee-Free Travel Management Programme in Singapore  Mandarin Oriental Shenzhen to Open 20 January  Hamad Int. Airport in Qatar Reports 41.37% Increase in Passengers in 2021  Qatar Airways Cargo Receives CEIV Live Animals Certification from IATA  Iraqi Airways Takes Delivery of First A220-300  Fabio Datteroni Appointed GM of Oetker Collection's First Italian Masterpiece Hotel  Gulf Air Receives Skytrax Five-Star COVID19 Airline Safety Rating  IHG Signs 4-Hotel, 2,709-Room Deal in Vietnam  Marriott Signs W Hotel in Nanjing, China  Greater Bay Airlines Signs Distribution Agreement with Amadeus  Allegiant Air Orders 50 Boeing 737 MAX Aircraft  Four Seasons Appoints Martin Cody as Senior GM of Two Hotels in Africa  IHG Signs Asia's First Vignette Collection Hotel  Comlux Takes Delivery of First ACJ TwoTwenty  Atlas Air Orders Four Boeing 777 Freighters  Air New Zealand Takes Delivery of ATR's 1,600th Aircraft  Emirates to Operate Double Daily Flights to Seychelles  French bee Takes Delivery of First Airbus A350-1000  Gilles Arzur Moves to Mauritius as Executive Chef of Four Seasons at Anahita  Ritz-Carlton Reopens Resort in Grand Cayman Following Major Renovation  QantasLink Launches Flights Between Melbourne and Burnie Airport in Tasmania  airasia ride Launches in Johor Bahru, Ipoh, Seremban and Melaka  Emirates Expands Partnership with Alhosn National Health System  Nok Air to Upgrade Operations with Technology from Radixx and Sabre  Emirates Takes Delivery of 123rd and Final New Airbus A380 Superjumbo  SIA Working with Retailers to Sell Products Made from Upcycled Parts of Retired Aircraft  New Zealand's MICE Options Expand as Te Pae Convention Centre Opens in Christchurch  BA Resumes Flights to Doha; Plans to Expand Partnership with Qatar Airways  SITA Upgrades Technology at Kuala Lumpur International Airport  ATR Receives EASA Approval to Extend Intervals of Type C Maintenance Checks  France's DGA Orders Two Additional Five-Bladed Airbus H145 Helicopters  Thai AirAsia to Launch VTL Flights Between Bangkok and Singapore  Singapore Airlines Signs LOI for 7 Airbus A350 Freighters  Qantas Unveils Plan to Order 40 Single-Aisle Airbus Aircraft  Sabre Appoints Kurt Ekert as President  Cathay Pacific Reports November 2021 Traffic  Qatar Executive Takes Delivery of Three More G650ER Aircraft  Pamela Fletcher to Join Delta as Chief Sustainability Officer  Qatar Airways Resumes Premium Inflight Dining Experience  Novotel Sunshine Coast Resort Completes Major Renovation  British Airways' Short-Haul Subsidiary at London Gatwick to Take Off in 2022  UK Removes All Countries from Red List  Thai Airways Launches VTL Flights Between Bangkok and Singapore  Bangkok Airways to Reopen Int. Passenger Lounges at Suvarnabhumi  Luca Virgilio Returns to London as GM of The Dorchester Hotel  Phuket Hotels Association Appoints Bjorn Courage as President  ACJ TwoTwenty Completes Maiden Flight  IHG Signs Crowne Plaza Hotel in Vinh Yen, Vietnam  Dorchester Collection Names First Hotel in Dubai  United Airlines Expands Partnership with Virgin Australia  Laminaar Aviation Signs MOU with Global Component Asia  Chunxia Gao Joins MSpa as Group Director - Asia  Dusit Partners with World Animal Protection  Pablo Molinari Joins Four Seasons New York Downtown as Hotel Manager  Airbus Expands Presence in Spain with Zero Emission Development Centre  All Nippon Helicopter Takes Delivery of First Airbus H160  HKIA Reports November Traffic; Launches Free Flight Delay Insurance  Qatar Airways Increases Flights to Popular Destinations  1,200 Swimmers Take Part in Hong Kong's New World Harbour Race  Marriott to Open 30 Luxury Hotels in 2022  Whitbread's First Premier Inn Hotel on Guernsey to Open in February  Air Canada's First Dedicated Freighter Enters Service  Travellers Can Now Upload My Vaccine Pass to Air New Zealand Airpoints Profile  IHG Opens 182-Room Holiday Inn Hotel in Queenstown, New Zealand  Cross Signs Two Hotels in Vietnam  Pan Pacific Revamps Discovery Loyalty Programme  The Dorchester Hotel in London to Remain Open During Major Renovation  Etihad Guest FFP Launches Conscious Choices  Zip Partners Sabre to Enable Buy Now Pay Later Options for Travel  IHG Signs Three Hotels with JJW  Brazil's Federal Police Takes Delivery of First of Two Embraer E175 Jets  Dusit Signs Mountain Resort in Hangzhou, China  Indonesia's Artotel Group Acquires Dafam Hotel Management  777 Partners Orders 30 More Boeing 737 MAX Aircraft  Air Astana Takes Delivery of 7th Airbus A321LR  First Students Begin Flight Training at United Aviate Academy in Phoenix  Cathay Pacific Signs Expanded Distribution Agreement with Travelport  HD Videos and Interviews  Podcasts from HD Video Interviews  RSS News Feed and Ticker  Travel Industry News Archives  Travel Trade Shows  High-Res Picture Galleries  Travel News Asia - Latest Travel Industry News 

Receive our Latest Travel News Daily Email free of charge by entering your email address and name in the boxes to the right and clicking subscribe. By subscribing, you agree with Revue's Terms of Service and Privacy Policy. You can also receive the news by WhatsApp, stay updated with our RSS Feed Travel Industry News by TravelNewsAsia.com, and even Add the Headlines to Your Website free of charge. Have questions? Please read our travel news FAQ.

     
Advertising
Advertising
Copyright © 1997-2022 TravelNewsAsia.com