View all newsletters
Receive our newsletter – data, insights and analysis delivered to you
  1. News
June 8, 2022

Russia’s Aeroflot plans to raise $3bn after sanctions hit

Shareholders gave their approval to the issuance of 5.42 billion new shares, at RUR34.29 apiece, through an open subscription.

Understand the impact of the Ukraine conflict from a cross-sector perspective with the Global Data Executive Briefing: Ukraine Conflict

Russian flag carrier Aeroflot is considering an emergency share issue with the aim of raising up to RUR185.2bn ($3bn), reported Reuters.

The move follows sanctions and airspace bans on Russia in the wake of its military attack on Ukraine.

During the company’s extraordinary general meeting (EGM), the shareholders gave their approval to the issuance of up to 5.42 billion new shares, at RUR34.29 apiece, through an open subscription.

The related technical amendment to the company’s charter, to raise the number of authorised shares from 616 million to 5.42 billion, was also approved.

Aeroflot stated that this decision was taken with the aim of strengthening its financial position.

In another development, the carrier announced plans to purchase 300 aircraft from United Aircraft Corporation, which is majority-owned by Russia’s state aerospace and defence entity Rostec, reported the Vedemosti business newspaper.

According to sources familiar with the matter, the airline intends to purchase the Irkut MS-21 medium-range plane, which has a capacity for more than 200 passengers. It is expected to start operations later in the year.

Aeroflot also plans to buy Russia’s main domestic-made passenger jet, Sukhoi Superjet 100. It can carry just under 100 passengers.

Additionally, Aeroflot is expected to order a small number of Tupolev Tu-214 planes, which can accommodate around 200 passengers.

Related Companies

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Monday. The airport industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy


Thank you for subscribing to Airport Technology