German government sells remaining Lufthansa shares

Airplanes of German carrier Lufthansa are parked at Frankfurt airport on September 2, 2022. – Reuters pic

Wednesday September 14, 2022 05:12 GMT

BERLIN, Sept. 14 – The German government has sold its 20% stake in Lufthansa acquired during the coronavirus pandemic, it announced on Tuesday.

The state Economic Stabilization Fund (WSF), which saved Lufthansa from bankruptcy during the pandemic with a rescue package totaling 9 billion euros (RM40.4 billion), had been gradually reducing its stake these years with the aim of fully discharging it by October 2023.

It has now sold its last remaining shares to international investors in a block placement for 455 million euros, the fund said in a statement on Tuesday evening.

He earned a total of 1.07 billion euros from the sale of his shares, generating a profit of 760 million euros on the investment.

“The government aid package has successfully helped the company through the crisis,” he said.

Deutsche Bank DBKGn.DE, one of the global coordinators and bookrunners for the sale alongside Goldman Sachs GS.N, said earlier on Tuesday that the fund wanted to offer institutional investors around 74.4 million Lufthansa shares. , corresponding to 6.2% of the airline’s share. Capital city.

Lufthansa shares closed down 1.5% at €6.32 per share on Tuesday. —Reuters

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