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China Eastern Airlines to conduct US$2.2 billion capital raising
May 13th 2022
China Eastern Airlines (CEA) is seeking to raise up to 15 billion yuan (US$2.2 billion) in fresh capital from a non-public issuance of new shares. Read More » The funds will be used to add new aircraft to the carrier’s fleet. Majority shareholder, CEA Holding, intends to participate in the capital raising by subscribing to 5 billion yuan of shares, CEA said in a regulatory filing to the Stock Exchange of Hong Kong. “The proceeds to be raised from the non-public Issuance of A Shares, after deducting relevant issuance expenses, will be used for introducing 38 aircraft [into the fleet] and supplement working capital,” CEA said. “At the same time, the company’s capital strength and scale of assets will be improved. Thus the company will be able to effectively respond to the adverse impact of the COVID-19 pandemic.”
