Company briefs: Air France-KLM

PHOTO: AGENCE FRANCE-PRESSE
PHOTO: AGENCE FRANCE-PRESSE

Air France-KLM

Air France-KLM will get up to €4 billion (S$6.3 billion) and the French government could raise its stake to as high as 30 per cent as part of a recapitalisation plan for the indebted carrier hit by the coronavirus pandemic.

Air France will get up to €1 billion in fresh capital as part of a shareholder subscription, and convert a previous €3 billion French loan into hybrid instruments, the European Commission said in a statement yesterday. In exchange, Air France will have to give up 18 daily slots at Orly airport.

The French government could become the biggest shareholder in the airline.

BLOOMBERG


Shell

Royal Dutch Shell has invested in sustainable-fuels technology firm LanzaJet, adding to a string of deals positioning the oil giant for the energy transition.

The Anglo-Dutch major did not disclose financial terms, but its expansion into clean energy has so far comprised small acquisitions and organic growth. That contrasts with its European peers Total and BP, which have acquired billions of dollars' worth of renewable assets. LanzaJet is building an "alcohol-to-jet" plant in the US state of Georgia, with capacity to produce 10 million gallons of sustainable aviation fuel a year from 2022.

BLOOMBERG


Straits Trading

A subsidiary of The Straits Trading Company is set to acquire JL Family Office's (JLFO) 10 per cent stake in Straits Real Estate (SRE) for $105 million in cash, the mainboard-listed investment company said in an exchange filing on Monday.

The agreement is between STC Capital, Straits Trading's wholly-owned subsidiary, and JL Equity II, a unit of the JLFO. The acquisition comes as JLFO seeks to divest its stake in SRE at the end of its successful investment cycle, Straits Trading said.

The transaction is scheduled to be completed on April 9.

THE BUSINESS TIMES

A version of this article appeared in the print edition of The Straits Times on April 07, 2021, with the headline 'Company briefs'. Subscribe