Troubled Rolls-Royce reveals £2bn cash-call

Engine-maker hit hard by Covid-19 crisis also announces plans for further £3bn of loans

Aircraft engine-maker Rolls-Royce has revealed plans to shore up its balance sheet by £5bn through a shareholder cash-call, a bond issue and new loan agreements.

The company said it would tap shareholders in a £2bn rights issue and raise more debt through a £1bn bond offering, a new two-year loan of £1bn and a further £1bn loan that would be 80% backed by the government’s UK export finance agency (UKEF).

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