LONDON (UK) – Due to strong demand from investors, Rolls-Royce has successfully priced a 2 billion pound equivalent bond offering in three tranches. It is more than the 1 billion pounds it targeted.
The finances of the firm, which makes aircraft engines, have been strained by the crisis. It said on Thursday that the bond offering would close on Oct 21 and the proceeds would be held in escrow until the rights issue is settled.
Earlier this month, the firm had announced its plan to bolster its balance sheet, which includes a 2 billion pounds rights issue along with the bond and other measures.