T'way Air reports massive loss and capital erosion in H1 2025, emergency capital raising

Operating loss of 113.8 billion won and net loss of 122.8 billion won in H1 2025 (consolidated), widening losses YoY.
Negative equity of -42.2 billion won at end-H1 2025, a complete capital impairment (vs. 82.3 billion won at end-2024).
Change in controlling shareholder (from Yerimdang to Sono International) led to resignation of 7 directors and appointment of 9 new directors on June 24, 2025.
On Aug 7, 2025, the board approved: perpetual convertible bonds (40 billion won), perpetual bonds with warrants (50 billion won), third-party allotment capital increase (110 billion won), and an 80% face value reduction (cancellation of shares).
No dividend possible due to accumulated deficits; no shareholder returns.
Pending lawsuit for violation of International Tax Adjustment Act: first trial lost (500 million won), under appeal.
H1 sales of 824.4 billion won (vs. full-year 2024 of 1.53 trillion; considering seasonality, sales are sluggish).

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