Latam Taxis Out Rights Offer

Latam Airlines plans to hold the rights offering period for a $1bn equity capital raise between November 20 and December 19, it says. The airline, working under an approval granted earlier this year, is planning to sell 63.5m shares, at a price to be determined before the start of the sale period. Latam will set a price equal to a weighted average of transactions from the eight days prior to the launch, minus a 7.5% discount. The sale would raise CLP506.25bn ($972m) if Tuesday’s CLP8,618.90 closing price were used and the 7.5% discount applied. The airline is raising funds for fleet enhancement and other purposes. JPMorgan is global coordinator and BTG Pactual and Credicorp joint bookrunners. Colombia’s Avianca went to the market last week to raise $408m in ADR, pricing below the range and seeing the ADR trade down slightly since.