aviation

CGS-CIMB downgrades SIA from 'buy' to 'hold', citing larger than expected losses and a slow expected recovery.

DBS Group Research analyst Paul Yong has maintained his “hold” call on Singapore Airlines (SIA) with a significantly reduced target price of $3.75 from $6.60 previously.

SIA says it entered into the first quarter at a time when market conditions were “deteriorating rapidly” due to the spread of the Covid-19 pandemic.

SIA has successfully raised an additional $750 million through long term loans secured on some of its Airbus A350-900 and Boeing 787-10 aircraft, bringing its total liquidity raised during FY2020/21 to $11 billion.

Analysts from DBS Group Research and OCBC Investment Research have recommended investors to “hold” on to the stock, while analysts from PhillipCapital and CGS-CIMB feel it’s time to “sell” or “reduce” their positions.

SATS, the gateway services and food solutions provider, reported a net loss of $6.3 million in 4Q20, compared to the earnings of $49.9 million reported in 4Q19.

The coronavirus outbreak is unexpectedly providing an opportunity to Singapore Airlines Ltd. to grab a share of the lucrative Indian market held by rivals Emirates Airline and Etihad Airways PJSC through a local affiliate.

Singapore Airlines (SIA) announced that it will be using $2.2 billion out of the gross proceeds of the $8.8 billion raised from the rights issue, to repay the $2 billion bridge loan facility with DBS Bank.

Cathay Pacific Airways Ltd. became the latest global carrier to seek a lifeline in the aftermath of Covid-19 travel restrictions, outlining a plan to raise HK$39 billion (S$7.0 billion) from the Hong Kong government and shareholders.

The company last month said it had made an unaudited loss of HK$4.5 billion