PARIS, April 12 (Reuters) - Air France-KLM has launched a share issue to raise about 988 million euros ($1.2 billion) to strengthen its liquidity and finance its general needs in the context of the COVID-19 crisis, it said on Monday.
The new shares will be priced at between 4.84 and 5.31 euros apiece.
The French state, which holds 14.3% of the airline’s share capital, has committed to subscribe up to a maximum of 65.9% of the capital increase, so as not to hold more than 29.9% of the company’s share capital following completion of the operation.
China Eastern Airlines, which holds 8.8%, will subscribe to the issue in order to hold less than 10% of the firm’s capital.
The Dutch state, which holds 14.0% of the share capital, has informed the company of its intention not to participate in the capital increase. Delta Air Lines, which holds 8.8% of the share capital, will also not partake.
$1 = 0.8393 euros Reporting by GV De Clercq Editing by David Holmes