Thomas Cook to raise €300m in bond issue to institutional investors

28th Nov 2016 09:23

(ShareCast News) - Thomas Cook has announced plans to raise at least €300m from the issue of guaranteed senior unsecured fixed rate notes due 2022 to institutional investors.The offering is expected to close on or about 8 December and the travel company said it will use the proceeds to redeem its outstanding guaranteed senior unsecured fixed rate notes due in June 2017, and a portion of its outstanding guaranteed senior unsecured fixed rate notes due in June 2020.Thomas Cook said the transaction will strengthen its financial position by extending the company's debt maturity profile and increasing liquidity.It will also help enhance the group's future financing flexibility, consistent with the company's target of reducing fixed-term debt by a further £200m over the next two years.At 0945 GMT, the shares were down 0.6% to 79.95p.