28th Nov 2016 09:31
LONDON (Alliance News) - Travel company Thomas Cook Group PLC on Monday said it will raise at least EUR300 million through the issue of guaranteed senior unsecured fixed rate notes due in 2022 in an offering to institutional investors.
The offering is expected to close on or around December 8, and Thomas Cook will use the proceeds to redeem its outstanding guaranteed senior unsecured fixed rate notes due in June 2017, and a portion of the notes due in June 2020.
The notes due in 2022 will also include a call option exercisable after two-and-a-half years.
"The transaction will strengthen Thomas Cook's financial position by extending the company's debt maturity profile and increasing liquidity. The transaction will also help enhance Thomas Cook's future financing flexibility, consistent with the company's target of reducing fixed-term debt by a further GBP200 million over the next two years," Thomas Cook said in a statement.
Shares in Thomas Cook were trading down 0.6% at 79.90 pence on Monday morning.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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