The global TMC issued an update as it confirmed that its parent, Flight Centre Travel Group, has secured AUD $900 million (£450 million) through a mixture of capital raising and new debt facilities to strengthen its balance sheet and liquidity position.
Flight Centre has already announced a range of cost-cutting measures, including making a third of its global workforce temporarily or permanently redundant as it battles the impact of COVID-19.
FCM said the moves by its parent will allow the TMC to ‘increase its focus on key investments and to support all customers even during prolonged challenging business travel trading conditions’.
It said it would also be able to ‘execute its long-term strategy, expand its capabilities and service a significant number of new clients’.
The additional funding means the group’s total liquidity position now amounts to over AUD $2.3 billion.
Marcus Eklund (pictured), Global Managing Director FCM Travel Solutions, said: “Our priority is to support customers and reassure them that they can trust and count on FCM during these unprecedented times and beyond.
“FCM’s financial strength is a key element of that trust. This announcement of additional funding is an important step in giving our customers the confidence that we are ready to support them when their business travel activity resumes, and that we will also be in a position to accelerate FCM’s growth in the future.”
He added that FCM is continuing to see record wins this year to date.