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Garuda Indonesia prepares share sale to obtain cash
October 2nd 2026
Garuda Indonesia plans to issue up to 124.4 billion new shares in a rights issue as part of its 2025-2029 restructuring plan. Read More » The decision comes months after the carrier received $1.4 billion rescue from sovereign wealth fund Danantara, as surging fuel costs deteriorated airline’s finances, and wiped out its remaining equity, Bloomberg Markets report. Danantara Asset Management will subscribe by taking a 65.8% stake in aircraft-maintenance unit PT Garuda Maintenance Facility Aero Asia rather than injecting fresh capital. Cash proceeds would instead come from other shareholders exercising their rights. Garuda recorded a $120.7 million interim loss, narrowing from $147.9 million a year earlier as revenue rose 16% to $1.80 billion. In this period, the airline’s fuel expenses surged 44% to about $678 million.
