StockMarketWire.com - Airline EasyJet has announced plans for a £1.2 billion rights issue and revealed it had been subject to an unsolicited all-share takeover offer which had rejected.

The proceeds from the raise, combined with a new $400 million credit facility will be used to shore up the balance sheet, look to take advantage of opportunities coming out of the pandemic, boost ancillary revenue and invest in a new generation of aircraft to improve carbon and cost efficiency.

The company also reported that in August 2021, UK domestic capacity was at 105% of 2019 levels with a load factor of 82%, whist intra-EU capacity was at 81% of 2019 levels with a load factors of 85%.

The directors expect the group's capacity in Q4 2021 to be approximately 57% of Q4 2019 levels, compared Q3 2021, when easyJet flew 17% of Q3 2019 capacity.

During Q4 2021, the company expects to increase capacity allocation and improve expected load factors on both UK domestic and intra-EU flying, with UK domestic capacity already at pre-pandemic levels.

Looking into Q1 2022, the Company currently expects to fly up to 60% of Q1 2019 capacity with a continued focus on profitable flying.

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