05 July 2020 - 16:19London — Rolls-Royce, the British jet-engine maker, is exploring options to raise funds that would help fortify the company against a downturn in the aerospace industry.
Rolls-Royce is examining possibilities including selling shares and divesting assets, people familiar with the matter said, asking not to be identified because the information is private. Its ITP Aero unit is one potential disposal being studied, the people said. About half of Rolls-Royce’s revenue comes from its civil aerospace business, according to data compiled by Bloomberg. The grim outlook for industry led S&P Global Ratings to downgrade Rolls-Royce’s credit rating to junk at the end of May, a move that can raise a company’s borrowing costs and lock out certain lenders.