FCM Travel Solutions’ parent company Flight Centre Travel Group (FCTG) has announced initiatives to strengthen its balance sheet and liquidity position.
It involves securing AUD 900 million (USD 566.37 million) through a mix of capital raising and new debt facilities. The move complements previously announced cost reduction and cash preservation initiatives implemented by FCTG to help overcome the unprecedented travel and trading restrictions imposed by governments in response to the Covid-19 pandemic.
FCM Travel Solutions will continue to focus on key investments and to support all customers during prolonged challenging business travel trading conditions. It will also allow the global company to execute its long-term strategy, expand its capabilities and service a significant number of new clients. The additional funding means the group’s total liquidity position now amounts to over AUD 2.3 billion (USD 1.45 billion). Despite the current trading climate, FCM Travel Solutions, which has a global presence in over 100 countries, is continuing to see strong customer activity in both sales and implementation, with record wins year to date.
Marcus Eklund, global managing director of FCM Travel Solutions said: “Our priority is to support customers and reassure them that they can trust and count on FCM during these unprecedented times and beyond. This announcement of additional funding is an important step in giving our customers the confidence that we are ready to support them when their business travel activity resumes, and that we will also be in a position to accelerate FCM’s growth in the future.”