NZ$1.2bn airport raising receives support from KWM

King & Wood Mallesons (KWM) has supported the Auckland Airport on a NZ$1.2bn equity raising effort.

The deal is part of Auckland Airport’s initiative to strengthen the company’s position during COVID-19, with border controls being strict and passenger numbers being down. The capital raising involves an institutional placement and share purchase plan, which servesd to reinforce Auckland Airport’s balance sheet and keep it capitalised once the crisis blows over.

KWM acted as the Australian legal counsel in the transaction. The team was led by partner David Friedlander, who was assisted by special counsel Amanda Isouard, senior associate Jo Ruitenberg and solicitor Sandra Lou.

“The airport is a piece of key global infrastructure and it is good to see it well supported. The offering straddles regulatory similarities in both jurisdictions, and regulators facilitated the transaction in tight time frames,” said Friedlander.

The team worked with major New Zealand firm Russell McVeagh on the transaction.

The Auckland Airport deal is one of a number of capital raising efforts that KWM has been involved with recently in light of the coronavirus pandemic’s effect on businesses. The firm assisted ASX-listed Flight Centre with a $700m equity raising in an effort to enable Australia’s largest travel retailer to continue trading.

In March, KWM had also acted for oOh!media on a raising worth over $150m.

The firm has had considerable experience in advising on capital raisings during difficult economic times, as it assisted clients during the GFC. This experience has been well utilised in these recent transactions.