To weather pandemic, Cebu Air sets out to raise crucial $250M

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The Gokongwei family’s Cebu Air Inc. is moving forward with a fundraising plan to shore up its resources during the COVID-19 pandemic.

The publicly listed operator of budget airline Cebu Pacific said on Friday its board of directors approved the sale of $250-million preferred shares that could be later converted to common shares.

The convertible preferred shares would be sold via a stock rights offering to existing shareholders.

Cebu Air, part of conglomerate JG Summit Holdings Inc., has yet to issue details on the full offer size, entitlement ratio, price and timetable.

The money is expected to strengthen its balance sheet given the devastating impact of the global health cr…

Keep on reading: To weather pandemic, Cebu Air sets out to raise crucial $250M