British airline EasyJet said it had received acceptances from investors for 93% of the new shares it sold as part of a £1.2 billion fully underwritten rights issue designed to help fund its recovery from the pandemic.
The airline announced the cash call, its second during 18 months of Covid-19, earlier this month.
It came at the same time as the airline revealed it had rejected a takeover approach from an unnamed suitor, believed to be low cost rival Wizz Air.
EasyJet's biggest shareholder, the family of founder Stelios Haji-Ioannou, decided not to participate in the rights issue, and their stake is set to reduce to around 15% from 25% when the shares go live this morning.
The founder has in the past clashed with management over its growth plans.
EasyJet's chief executive Johan Lundgren said the extra funds would enable it to take advantage of new opportunities likely to arise as carriers like Aer Lingus-owner IAG, Air France-KLM and Lufthansa retreat.
"The success of this capital raise, thanks to great support from investors, will enable easyJet to strengthen its balance sheet and accelerate its post-Covid 19 recovery plan," he said in a statement today.
The underwriting banks on the issue will now try to find subscribers for the remaining 21 million shares not taken up by shareholders in the 31 for 47 rights issue, and if they can not, will subscribe for the stock themselves.
