The Boeing Company on Thursday said it no longer requires federal aid to weather through the novel coronavirus (COVID-19) pandemic.
The troubled aircraft maker has instead raised $25 billion in a bond offering.
“We’re pleased with the response to our bond offering today, which is one of several steps we’re taking to keep liquidity flowing through our business and the 17,000 companies in our industry’s supply chain,” the company said in a statement.
“The robust demand for the offering reflects strong support for the long-term strength of Boeing and the aviation industry.”
Boeing noted that the transaction is expected to close by Monday. The 7-tranche debt instruments can be redeemed between three to 40 years.
The Chicago-based company said it will not look to get additional funding either from the government or the capital markets.
Why It Matters
Boeing had asked the federal government for a “minimum” $60 billion bailout for the airline industry in March.
The aircraft maker was one of the companies set to take major benefits from the $2 trillion coronavirus stimulus package, as the Wall Street Journal noted in March.
Lawmakers had set aside $17 billion for aid to companies deemed essential to national security, a criteria Boeing qualifies, but the loan would have come with strings attached.
The interest in Boeing’s debt offering is unusual, given that the company posted its second straight quarterly loss on Wednesday.
Boeing shares closed 1.45% higher at $141.02 on Thursday. The shares traded 0.9% lower at $139.80 in the after-hours session.
This story originally appeared on Benzinga.
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