The chief executive of British Airways owner IAG has denied widespread City speculation that he is planning to raise billions of euros from shareholders to get the company through the extended Covid crisis.
Having seen easyJet tap investors for £1.2 billion in a rights issue earlier this month, focus had turned to IAG with expectations that it would have to follow suit to shore up its finances. But chief executive Luis Gallego firmly denied any such plans, telling The Sunday Times: “We do not see the necessity to do a rights issue and are not considering it.”
He said the company was talking through “different options” with banks as it plans through worst-case scenarios for Covid.
His words will come as a relief to shareholders