MANILA, Philippines — Philippine Airlines Inc. has more than doubled its capital base in preparation for future fund raising activities.
PAL increased its authorized capital stock from P13 billion to P30 billion.
The increase in capital stock was approved by a majority of the company’s stockholders during a special meeting held yesterday.
The capital build up, which will be filed with the Securities and Exchange Commission, is part of the flag carrier’s transformation towards sustainable profitability and a higher level of competitiveness.
PAL president and chief operating officer Gilbert Santa Maria said the capital increase supports future fund raising activities by the company.
“PAL needs new capital,” Santa Maria said.
PAL, the country’s only four-star global airline, has a network covering more than 30 domestic and 40 international destinations with a fleet of 98 advanced-technology aircraft.
In May, the airline will re-introduce a nonstop Cebu-Los Angeles service, which it briefly served from March 2016 to May 2017.
It is also looking to launch a Manila to Seattle service. Seattle has long been in PAL’s pipeline for potential new services in North America.
PAL will also be introducing the first-ever nonstop flights between Manila and Perth starting March 30, as well Zamboanga and Kota Kinabalu flights starting March 29, and between Davao and Manado starting March 29.