New Delhi, (Asian independent) InterGlobe Aviation, which operates airline major IndiGo, has decided to raise funds worth Rs 4,000 crore.
Accordingly, the company will issue equity shares by way of a qualified institutions placement to raise the fund.
The decision was taken by the company’s board in its meeting held on Monday.
“We hereby inform you that the Board of Directors of lnterGlobe Aviation limited, at its meeting held today, i.e., August 10, 2020, has considered and approved the raising of funds for an aggregate amount not exceeding INR 4,000 crore through an issue of equity shares by way of a qualified institutions placement, in accordance with the relevant provisions of applicable law and subject to approval of the Company’s shareholders and receipt of applicable regulatory approvals,” the company said in a regulatory filing.
The decision comes days after the company posted its highest ever quarterly net loss at Rs 2,844.3 crore for the first quarter of 2020-21.
It had posted a profit of Rs 1,203.1 crore in the like period of the previous fiscal.
“IndiGo had a total cash balance of Rs 184,498 million comprising Rs 75,276 million of free cash and Rs 109,222 million of restricted cash. The capitalised operating lease liability was Rs 211,779 million. The total debt (including the capitalised operating lease liability) was Rs 235,516 million,” the company had said in a statement last month.
In its outlook, the company said it expects the Q2 fiscal 2021 to be around 40 per cent of Q2 FY20.