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What a lovely financing technique

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Amid a battle for orders between Boeing and Airbus, Monarch secured a cut-price deal for 30 new planes — which later rose to 45. The market value of the aircraft was greater than Monarch’s agreed price, so creating a paper profit.

Greybull was able to persuade Boeing to release more than £100m of this trapped equity as cash, pumping it into the airline through Petrol Jersey.

Buy something you can’t afford at a discount, claim the discount as capital. Actually, they managed to go up one notch, manage to persuade the seller to give you the discount as capital.

That really is innovative.


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