Hungary’s Wizz Air to issue €500mn bonds

Wizz Air (W6, Budapest) has announced it will issue a debut bond worth EUR500 million euros (USD608 million) as a part of a programme aimed at earning EUR3 billion (USD3.65 billion), announced in August 2020. The three-year bonds will be priced at 1.35% and will be due in 2024. Subject to customary conditions, the low-cost carrier expects to finalise the sale on January 19, 2021. It said that the offering was “multiple times oversubscribed”. The Financial Times reported that total demand for the bonds exceeded EUR2 billion (USD2.4 billion). Wizz Air intends to use the proceeds to further strengthen its liquidity position. “We are pleased to announce our debut bond offering which demonstrates Wizz Air’s access to alternative financing markets at highly attractive pricing. The proceeds will further strengthen Wizz Air’s already excellent liquidity position providing continued flexibility to respond to growth opportunities, as well as providing additional financial resilience,” Chief Executive József Váradi said.