TUI raises €1.8bn to repay state loan

By Linsey McNeill
Home » TUI raises €1.8bn to repay state loan

TUI Group has raised a further €1.8 billion to repay a loan from the German Government.

The money raised via a rights issue will also be used to ‘significantly’ reduce TUI’s KfW credit line.

Existing shareholders were able to buy new shares at a ratio of eight new shares for three existing ones for €5.55 per share.

Sanctioned shareholders, including Russian Alexey A Mordashov, were banned from buying new shares.

TUI said about 90.9% of subscription rights were exercised.

The unsubscribed shares subsequently were fully sold to qualified investors.

CEO Sebastian Ebel said: “I would like to thank our shareholders for accompanying us on this important and successful step.

“We are reducing our debt and interest costs, TUI will have a good balance sheet structure. Now we focus on profitable growth and improved profitability.”

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