Norwegian Air Shuttle has provided an update to its contemplated capital raise that of up to NOK 6,000 million, comprising an offering of NOK 1,875 million new capital perpetual bonds, a NOK 395 million rights issuance, and a private placement of new shares.
Norwegian states that it has received subscriptions in the New Capital Perpetual Bonds Offering for an amount exceeding NOK 1,875 million, and expects to allocate New Capital Perpetual Bonds of NOK 1,875 million to Eligible New Capital Perpetual Bonds Creditors on or about 26 May 2021.
The subscription period for the Rights Issue and the application period for the Private Placement expired on 21 May 2021.
Preliminary counting indicates that Norwegian has received subscriptions for approximately 311 million new shares in the Rights Issue. Up to 63,076,638 new shares were offered in the Rights Issue at a subscription price of NOK 6.26 per share. The preliminary counting consequently indicates an oversubscription of approximately 393%.
The conditional allocation of the Rights Issue Offer Shares will take place on or about Tuesday 25 May 2021. The final result of the Rights Issue will be published shortly thereafter.
As a result of NOK 1,875 million expected to be allocated in the New Capital Perpetual Bonds Offering and the Rights Issue being oversubscribed, in total 595,869,048 new shares at a subscription price of NOK 6.26 per share are expected to be allocated in the Private Placement raising gross proceeds of approximately NOK 3,730 million. Consequently, Norwegian will raise total gross proceeds of approximately NOK 6,000 million in the Capital Raise. The Private Placement is described as “significantly oversubscribed”.
The Rights Issue Offer Shares and the Private Placement Offer Shares are expected to be tradeable on the Oslo Stock Exchange on or about 27 May 2021.
DNB Markets is acting as sole global coordinator and joint bookrunner for the capital raise and ABG Sundal Collier is acting as joint bookrunner. Seabury Securities serves as financial advisor for the Capital Raise. Advokatfirmaet BAHR is acting as legal counsel to Norwegian. Advokatfirmaet Thommessen is acting as legal counsel to the bookrunners.