Distressed flag carrier PT Garuda Indonesia plans to undertake a rights issue to raise additional capital and will invite strategic investors to take part as it attempts to revive its ailing business. The airline expects to launch the equity issue after the Indonesian government makes good upon its plan to inject the carrier with fresh funds, Finance Director Prasetio said during a court hearing with creditors on Monday. "Our first priority is to partner with local investors before we expand our search to include international ones," Prasetio, who goes by one name, said. Indonesia has previously said it is open to the possibility of private investors becoming majority owners of the troubled airline, which is currently in talks with creditors to restructure US9.8 billion of debt. Garuda is one of several airlines facing financial distress because of Covid-19. Prasetio didn't elaborate on how much money may be sought in a rights issue or what sort of stake any new investors would hold in the company.