BANGKOK: Thai Airways International Pcl is planning to sell up to 15 billion baht ($464 million) of hybrid bonds in July to help reduce debt at the loss-making carrier.
The national flagship carrier plans to issue between 10 billion baht ($309.12 million) and 15 billion baht of bonds, and will hold roadshows next month, a senior company official, who declined to be named as he is not authorised to speak to media, told Reuters on Wednesday. "If the timing is right and the market condition is favourable, the company will sell the bonds next month.
The hybrid bond can be regarded as equity. This will help reduce debt and improve the airline's balance sheet," he said.
A spokesman for the company could not be immediately reached for comment.
After spending heavily to expand its fleet in the past two years, Thai Airways had a debt-to-equity ratio of 3.4 times as of the end of the first quarter.
The airline, which has also been hit by a drop in tourist arrivals in Thailand following months of political unrest at home, reported its fourth successive quarter of loss in January-to-March.
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