LONDON, March 2 British engineer Cobham
said it would raise 500 million pounds ($614 million) in a
rights issue to put the company on a stronger footing after a
"deeply disappointing" performance in 2016.
The company, which two weeks ago issued its fifth profit
warning in 15 months, has suspended its dividend and taken
charges of more than 800 million pounds.
"Given the reality of Cobham's current financial performance
and our high leverage coming into the year, we have announced
actions today to strengthen the balance sheet," Chief Executive
David Lockwood said on Thursday.
"This is needed to reassure our customers, to give us the
flexibility to drive operational improvements and to provide us
with a sustainable platform for the future."
($1 = 0.8150 pounds)
(Reporting by Paul Sandle; editing by Kate Holton)