Singapore Airlines (SIA) stopped trading its shares on the Singapore stock exchange on Thursday morning pending an announcement, a few days after grounding most of its planes and saying it was seeking refinancing to consolidate its weakened balance sheet. .
The airline on Monday said travel bans due to the raging Covid-19 pandemic worldwide and the resulting slump in flight demand represented the “biggest challenge the SIA Group has faced in its existence. “.
SIA shares on Monday fell to a 21-year low of $ 5.35 ($ 3.70), but on Wednesday they rose more than 10% to $ 6.50. At the start of the year, the company’s shares were trading at $ 9.11.
The last time SIA suspended trading in its shares was in 2015 on November 6, when it launched a full acquisition of the budget company Tigerair, which is now known as Scoot.
Singapore is preparing for a recession after the economy slowed more than expected in the first quarter
Singapore Finance Minister Heng Swee Keat is expected to announce off-balance sheet financial stimulus measures this afternoon to support the city’s state trade and export-dependent economy, as well as workers and families. This occurs after a previous $ 4.6 billion increase announced last month during the budget.
Last Thursday, the Ministry of Commerce and Industry downgraded its GDP forecasts for the year after the economy contracted most in a decade in the first quarter.
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