ROLLS- ROYCE IN BID TO RAISE £ 2.5BN
ROLLS- ROYCE shares have plummeted after the engineering giant confirmed it is considering tapping investors for £ 2.5billion to shore up its finances.
Shares in the business tumbled by as much as
10 per cent in early trading – by close of play they were down 19.45p to 160.7p – after it confirmed reports that the fundraiser was a funding
option being reviewed by the business. It told investors that, among other options, it was “evaluating” the merits of raising up to £ 2.5billion in equity through a rights issue or other fundraiser.
The review will also see it consider taking on new debt to support its finances after all of the aerospace industry was hammered by the pandemic.