Bahrain raises Gulf Air share capital by $1 billion
Manama, October 19, 2010
Gulf Air, Bahrain's national carrier, has confirmed that its owners have raised the airline's authorised share capital by an additional BD400 million ($1.1 billion).
"This is the first time the airline has been through a capital restructuring since Bahrain took ownership back in November 2007," said a Gulf Air spokesperson.
"With the new financing Gulf Air’s share capital will be increased to BD530 million," the spokesperson said.
Gulf Air is fully owned by the Kingdom of Bahrain through Bahrain Mumtalakat Holding Company.
Earlier, Reuters quoted Al Wasat newspaper as saying that Bahrain had plans to inject additional capital into Gulf Air.
The airline, which flew close to 6 million passengers last year, plans to break even in two to three years after a loss of $502 million in 2009, according to a document seen by Reuters. - TradeArabia News Service and Reuters