American Airlines announces stock offering of 38.5mn shares
- Sole bookrunner Bank of America has priced the offering at $13 per share, representing a discount of 1.5% to the airline's closing price on Monday.
- American Airlines said it expects to use the net proceeds from the offering for general corporate purposes.
American Airlines Group Inc announced a proposed underwritten public offering of 38.5 million shares of its common stock on Tuesday, as the airline looks to boost its liquidity amid falling sales during the coronavirus crisis.
Sole bookrunner Bank of America has priced the offering at $13 per share, representing a discount of 1.5% to the airline's closing price on Monday, according to sources.
American Airlines said it expects to use the net proceeds from the offering for general corporate purposes.
The airline said it expects to end the fourth quarter with more than $14.5 billion in total available liquidity, up from $13.6 billion at the end of the third quarter.
Up to Monday's close, American's stock had fallen 54% this year, underperforming a 6.5% rise in the Dow Jones Transport Average index.
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