Troubled tour operator MyTravel has raised hopes a deal with bondholders to help secure the group's future could be struck.

MyTravel, formerly Airtours, outlined the possible terms of a refinancing and said it was confident of a "satisfactory resolution".

The update, issued in response to a weekend media report, sent the Manchester-based company's shares 11 per cent higher to 36.5p.

MyTravel has been battling for survival in recent months after the impact of September 11 and accounting problems forced it into the red.

The company has already signed a £1.3 billion refinancing deal with its bankers but still needs to agree terms on £220 million worth of bonds.

Tuesday July 22, 2003