Cyprus Airways has approved the creation of new shares to fund the company's restructuring efforts, during an extraordinary general meeting.
The loss-making flag carrier resolved to cut the nominal value of its shares by more than 90%, to just €0.01, reducing its authorised share capital from €135 million to €15 million.
It has agreed also to cut the corresponding value of its issued capital, from €35.2 million to €3.9 million. Cyprus Airways says the overall reduction is attributable to "capital eroded due to losses".
The meeting agreed that, following these reductions, the authorised share capital would immediately be restored to its former level, €135 million, through the creation of 12 billion new shares with the new nominal value.
Cyprus Airways has been intending to issue new shares to raise more than €45 million to support the company's operations.