A capital increase of up to 300 million euros approved this week will be based on a value for the near-bankrupt airline of 30 million euros after banks Unicredit (>> UniCredit SpA) and Intesa Sanpaolo (>> Intesa Sanpaolo SpA), which offered to underwrite parts of the cash call, were granted a 40 percent discount on the value for the group initially agreed by its shareholders.

That would bring the total equity capital after the cash call to 330 million euros. This could rise further, to 425 million euros, if the 95 million euros bond is converted into shares.

(Reporting by Paola Arosio and Alberto Sisto; Writing by Agnieszka Flak)

Stocks treated in this article : AIR FRANCE-KLM, Intesa Sanpaolo SpA, UniCredit SpA