Finnair plans rights issue to shore up finances

The Finnish state, the carrier’s controlling shareholder, backs the offering and plans to subscribe to its pro rata share of the new stock, the company said. — Bloomberg

Finnair Oyj plans to raise as much as 600mil euros issuing new shares, as the Finnish flag carrier seeks to prop up its balance sheet after its strategy was upended by the closing of Russia’s airspace in the wake of the war in Ukraine.

The stock slid as much as 27% yesterday morning in Helsinki, putting it on track for its biggest drop since at least 1991.