THE SHARES of Air France-KLM yesterday sunk as low as 12 per cent after the carrier issued €300m (£262.5m) worth of bonds convertible into shares.

Air France-KLM yesterday said the move would help it strengthen its capital and pay back the financial aid it received from the French government to stay afloat during the pandemic.

Funding - which was provided also by the Dutch government - amounted to a total of €10.4bn. The bond issuance is part of Air France's decision to repay €4bn worth of pandemic aid. The move sent shares down by eight per cent when it was announced in February.

(c) 2022 City A.M., source Newspaper