British Airways owner International Consolidated Airlines Group (LSE:IAG) said Wednesday it was considering the options to survive the volatile airline industry, but that these do not include a rights issue.
Bookings are starting to recover and it does not yet need to raise further funds via a rights issue, chief executive Luis Gallego told Reuters.
"We don't have a plan right now to do a rights issue because, in the current circumstances that we have, we see the recovery of the business, we see the high level of bookings," Gallego said.
The airline group has been recovering from pandemic-related issues but Gallego said it would be 'wise' to examine the best solutions to progress.
The CEO added that IAG had not yet been impacted by Russia’s invasion of Ukraine and the rerouting of flights was manageable.
One issue that is hurting, he said, are soaring oil prices, which will add further pressure on the airline, which has already slashed thousands of jobs and raised billions of pounds due to the Covid pandemic.
Gallego said it was also looking at potential deals and airline partnerships.
"We would be negligent if we don't analyse all of these scenarios because the world is very uncertain now,"
The whole industry is trying to establish how best to move forward and maximise shareholder value and ticket revenues, he said.
Shares in IAG rose 3.4% today to 140.7p.