Thai Airways International expects to raise as much as 44 billion baht ($1.27 billion) from a share rights offering, the carrier’s final major step to exit a court-supervised debt restructuring and allow the resumption of the trading of its stock.
Thailand’s flag carrier set the share price for its 9.82 billion new shares for existing shareholders at 4.48 baht, according to its exchange filing late Tuesday. Each holder of existing stock can purchase 4.5 new shares, it said.
The airline, like regional rivals, is benefiting from a post-pandemic travel boom since 2023 that has boosted earnings and cash flow. The turnaround prompted Thai Airways to order a new fleet of Boeing. and Airbus jets to expand flights and destinations.
The carrier’s creditors also agreed to convert about 53 billion baht debt into shares after the subscription period ended earlier this month, according to its statement. The airline issued about 21 billion new shares to creditors at 2.5452 baht each.
The airline aims to emerge from its debt-restructuring plan in 2025, five years after it filed for bankruptcy protection. The state-controlled airline returned to profit in 2023 after it had posted losses from operations every year from 2013, which were worsened by the Covid pandemic. The airline anticipates the resumption of stock trading in the second-quarter of 2025.
The subscription period for the rights offering is set for Dec 6 to Dec 12. The names of shareholders allocated the new shares will be announced Dec 19, the company said.