Shares in Mexican carrier Aeromexico plummeted on the Mexican stock exchange after the firm announced a tender offer for its shares at a massively reduced price as part of its financial restructuring.
Aeromexico shares plunged 70 percent at one point but had partially recovered by midday. They were still down 52 percent to 1.79 pesos, having closed on Wednesday at 3.89 pesos. Earlier in the day, the company announced it would tender 46 percent of its shares in circulation at the paltry price of 0.01 peso each.
Aeromexico, one of Latin America’s largest airlines, filed for Chapter 11 bankruptcy in the United States last year, citing the “unprecedented impact” of the coronavirus pandemic.—AFP
