Finnair has disclosed that investor have oversubscribed by nearly 11% to a new share issue intended to reinforce the Nordic company’s liquidity.

The company says it will receive net proceeds of around €501 million.

Finnair received subscriptions for more than 1.416 billion shares against the 1.279 billion on offer.

The vast majority of take-up was achieved through exercising subscription rights. The stock had a price of €0.40 per share.

As a result of the offer, the number of Finnair shares will expand more than 10 times to over 1.4 billion.

“With this successful share issue, we strengthen our equity, which helps to reach our goal of sustainable, profitable growth,” says chief executive Topi Manner.

The Finnish government held about 56% of the company’s shares beforehand.

Finnair states that it expects trading with the new shares will begin on the Nasdaq Helsinki exchange on 9 July.