WestJet Airlines Ltd. plans to raise up to $172.5-million in an equity offering. The carrier said yesterday that it has entered a pact with underwriters to sell 13.39 million shares at $11.20 each to generate $150-million. An overallotment option of more than two million shares would add $22.5-million to the proceeds. "WestJet intends to use the net proceeds of the offering to finance WestJet's capital expenditures, including future aircraft financing activities, and for general corporate purposes," the airline said of the "bought deal." The underwriting syndicate is led by CIBC World Markets Inc., and the deal is slated to close on or about Sept. 30. WestJet currently has about 128 million shares outstanding. Last month, WestJet chief executive officer Sean Durfy said the Calgary-based carrier has "kicked the tires" of Porter Airlines Inc. "Porter's got a business model that seems to be sustainable. But are we out actively pursuing Porter? I would say no," Mr. Durfy said. WJA (TSX) fell 30 cents to $11.70.
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