Ryanair raises €850m through sale of seven year bond

Tuesday 10 June 2014 17.01
Ryanair plans to use the money raised to acquire new aircraft
Ryanair plans to use the money raised to acquire new aircraft

Ryanair has raised €850m through the sale of a seven-year euro bond, which was auctioned at a rate of 1.875%.

It is the first time the airline has raised capital through a bond sale, the proceeds of which will go towards the purchase of 180 new Boeing aircraft.

Earlier this year, Ryanair secured a BBB+ credit rating from both the Standard & Poors and Fitch agencies, which paved the way for the issuing of a bond.

The airline's chief financial officer and deputy chief executive, Howard Millar, said the bond sale was eight times over-subscribed with interest coming from investors across Europe.