Germany to sell up to a quarter of its Lufthansa stake By Reuters

© Reuters. FILE PHOTO: Lufthansa planes are seen parked on the tarmac of Frankfurt Airport, Germany June 25, 2020. REUTERS/Kai Pfaffenbach/File Photo

(Corrects to read 6 billion (not 9 billion), paragraph 4)

BERLIN (Reuters) -Germany plans to sell up to a quarter of its 20% stake in Lufthansa over the coming weeks, the German finance agency said on Monday, citing positive developments at the bailed-out airline.

Lufthansa shares fell as much as 4.9% to 8.81 euros in early trade after the announcement.

The state’s 20% stake was acquired for 300 million euros ($353.67 million) as part of a bailout for the German carrier as the company and the entire aviation sector took a battering from the coronavirus crisis.

Lufthansa had received a 6 billion euro package from Germany’s economic stabilisation fund (WSF), which was set up to help companies to ride out the pandemic.

The WSF has said it would sell the complete stake, which is currently worth more than 1 billion euros, before the end of 2023.

Lufthansa plans to issue new shares, probably before the Sept. 26 parliamentary elections, to help it to return bailout money to taxpayers.

Shareholders have approved a potential capital increase of up to 5.5 billion euros.

($1 = 0.8482 euros)

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link

Leave a Reply

Your email address will not be published.

$26,107.65  $315.82  1.20%  
$1.57  $0.0000  0.00%  
$28.78  $0.65  2.21%  
$0.2006  $0.0000  0.00%  
$2,292.01  $49.77  2.13%  
$2.87  $0.039  1.34%  
₹ 15,989.80  ₹ 178.95  1.13%  
$7,945.40  $81.20  1.01%  
$1.02  $0.0084  0.81%  
$1.19  $0.0028  0.24%  
$135.86  $0.018  0.01%  
$3,845.08  $13.69  0.36%  
$156.79  $0.7  0.44%  
$31,037.68  $69.86  0.23%