Jet2 to sell new shares to ‘provide sufficient liquidity’

Leeds-based Jet2 plc said late on Thursday it intends to sell new shares in the firm in a placing and retail offer of stock that will not exceed 20% of the company’s existing ordinary share capital.

Jet2 said it believes the proceeds from the proposed fundraise “will provide sufficient liquidity on an extended and likely unpredictable shutdown basis to deal with this continually challenging trading environment.”

In a stock exchange statement, the company said: “Jet2 … today announces its intention to conduct a placing of new ordinary shares … in the company to institutional investors.

“In conjunction with the placing, a retail offer of new ordinary shares at the placing price will be made by the company via PrimaryBid to provide retail investors with an opportunity to participate in the equity fundraise.

“A separate announcement will be made shortly after this announcement regarding the retail offer and its terms.

“Together, the total number of placing shares and retail shares will not exceed 20 per cent. of the company’s existing ordinary share capital.”