Rocket Maker Avio May Weigh €300 Million Capital Raise (Correct)

Italian rocket maker Avio SpA may consider a capital increase of as much as €300 million ($351 million) to strengthen its satellite-launch business, people familiar with the matter said.

The board is scheduled to meet on Thursday and could discuss the plan, the people said, asking not to be identified because the talks are private. No final decision has been made and the board isn’t fully aligned on the capital hike, the people added without elaborating.

An Avio spokesman declined to comment.

Shares of the company, based outside of Rome, reversed earlier gains following Bloomberg’s report, falling 2.7% at the ...