Qantas stock has its best day in nearly 20 years
Shares jumped by 26% after the company announced it had secured a $1.05 billion loan
Stocks impacted: Qantas Airways Limited (QAN)
The Australia-listed company secured $1.05 billion against its aircraft fleet to help it ride out the coronavirus crisis. Qantas raised the financing against seven of its Boeing Co 787-9s. The loans included those from the big four banks, as well as J.P. Morgan, Citibank and Sumitomo Mitsui Banking Group among others. The loan has a tenure of up to 10 years at an interest rate of 2.75%. The company also has an additional $1 billion undrawn facility still available and $3.5 billion in unencumbered assets. Qantas has cut all international flights but so far has maintained its investment grade credit rating. Last week, the company announced it was to stand down two-thirds of its staff. After the announcement on the secured loan, Qantas stocks rallied as much as 31% before closing 26% higher.
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