Bamboo Airways shareholders shoot down capital increase plan
Shareholders of Bamboo Airways, at an extraordinary general meeting on Monday, rejected plans for a private placement of shares to increase charter capital.
The proposal for a VND9.57-trillion ($405.5 million) issue to increase the capital to VND28 trillion, restructure loans and swap debts for shares based on agreements with creditors was rejected by 56.4% of shareholders.
Bamboo Airways chairman Nguyen Ngoc Trong said he would hold discussions with major shareholders and submit a plan for increasing the charter capital at the next annual general meeting.
Trong said that in the first quarter of this year, with its fleet operating at full capacity, the airline would almost break even.
It is expected to get delivery of six to eight aircraft this year and 10 more in 2024-25, he said.
“Bamboo Airways will become profitable by 2025.”
He said 2026 or 2027 would be an optimal time for it to make an IPO.
The carrier now flies to 21 out of 22 airports in Vietnam, and in April would add Ca Mau to its destinations.
Internationally, it has been resuming services to Europe and Australia post-Covid.