By: Ruchi Schroff
Kuwait's Jazeera Airways has raised its capital by 74% to KWD42 million ($149 million) through a share issue which was 2.25 times oversubscribed, Reuters has reported.
The airline issued 178 million shares priced at 100 fils each from December 16 to 31, in the latest in a series of capital raising measures bv Kuwaiti companies.
There is no indication what the additional funds will be used for, but in the past the airline has used the funds for business expansion purposes.
Marwan Boodai, Jazeera Airways group chairman, said: “The oversubscription was one of the most successful rights issues in Kuwait in recent years. This result reflects a clear investor appetite for being part of our company’s success story and statement of confidence in our management team.”
Jazeera Airways has a fleet of 12 A320 aircraft, with three more to be delivered in 2013 and 2014 as part of its STAMP growth plan.