SINGAPORE: Tiger Airways said that its rights share issue has been fully subscribed, raising additional funds of about S$230 million.
Tiger suffered a net loss of S$182.4 million for its fiscal second quarter ended Sept 30. With its other units such as SilkAir and SIA Engineering also suffering weaker growth, SIA’s net profit for the quarter ended September declined 43.5 per cent year on year to S$91 million.
Tiger had offered existing shareholders 85 rights shares at 20 cents apiece for every 100 shares held. SIA had earlier converted its perpetual convertible capital securities holdings in Tiger into ordinary shares, raising its stake to 55.8 per cent from around 40 per cent previously.
The budget carrier’s largest shareholder Singapore Airlines (SIA) did not receive additional rights shares, meaning that its stake remains at 55.8 per cent.
SIA chief executive Goh Choon Phong said we believe that SIA, with its scale and connectivity distribution, can benefit Tiger beyond its alliance with Scoot, our focus now is to see in what manner we can help Tiger back to financial health.
