(Reuters) – American Airlines Group Inc said on Sunday it plans to raise $1.5 billion by selling shares and convertible senior notes, to improve the airline’s liquidity as it grapples with travel restrictions caused by the coronavirus.

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The company expects to use a portion of the net proceeds from the offerings for general corporate purposes and to enhance its liquidity position, the airline said in a statement.

The stock and notes offerings include a 30-day option for the underwriters to purchase up to $112.5 million of additional common shares and up to $112.5 million of additional notes respectively, the company said.

TickerSecurityLastChangeChange %AALAMERICAN AIRLINES GROUP INC.16.00-0.49-2.97%

Goldman Sachs & Co. LLC, Citigroup, BofA Securities and JP Morgan will be acting as representatives for the underwriters.

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The offerings, first reported by Bloomberg News, is said to be due by 2025.

The airline said it also intends to enter into a new $500 million term loan facility due 2024.

FILE PHOTO: American Airlines planes crowd a runway where they are parked at Tulsa International Airport in Tulsa, Oklahoma, March 23, 2020. REUTERS/Nick Oxford/File Photo

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American Airlines and Delta Air Lines Inc said last week that a modest recovery in demand was helping to slow daily cash burn rates in June after the U.S. government reported record low passenger numbers in April amid the coronavirus pandemic.

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