TUI Group, the leisure operator, has announced that it will undertake a capital raise of €1.8 billion ($1.93 billion) to repay state aid granted during the pandemic. The company will offer almost 329 million new shares to subscribers at a price of €5.55, with eight shares granted for every three currently held. The subscription window opens on 28 March and runs until 17 April. TUI Group’s supervisory board has approved the measure. Nearly €750 million will be repaid to the German economic stabilisation fund, plus warrants and interest. Another €440 million will be used to pay back part of TUI’s credit line from bank KfW. The remainder will be used to reduce the credit line, which currently stands at €2.1 billion. Should the capital increase prove successful, the company says that net debt will fall to €2.4 billion from €3.4 billion at the end of last year.