The Brazilian government has provided an updated timeline on the proposed merger between GOL Linhas Aéreas Inteligentes and Azul Linhas Aéreas Brasileiras, estimating that the process will be finalized within 12 months. This timeline aligns with the deadline set by CADE, Brazil’s antitrust regulator.
Azul has announced a significant capital increase following approval by its Board of Directors. The airline plans to raise between $260 million and $1 billion through a private subscription of new preferred shares, reinforcing its financial position amid ongoing strategic growth efforts.
Azul, a leading Brazilian airline, has completed a comprehensive debt restructuring plan, resulting in significant shifts in its ownership structure. The restructuring has led to a substantial reduction in the company’s debt by nearly $1.6 billion, as reported by Reuters.
Azul (Brazil) has had its credit rating downgraded to ‘SD’ (Selective Default) by S&P Global Ratings (US) after completing a distressed debt exchange. The downgrade reflects S&P’s classification of Azul’s recent debt restructuring as distressed, rather than a conventional market transaction.
Azul (Brazil) has successfully completed the restructuring of its financial obligations, reaching agreements with bondholders, lessors, and OEMs. The carrier also closed its $525 million Floating Rate Superpriority Notes offering, due 2030, significantly improving its financial stability.
The proposed merger between GOL and Azul, two of Brazil’s largest airlines, has received government support, with the country’s ports and airports minister stating that the move would strengthen the aviation sector and prevent either airline from facing financial difficulties.
Brazil’s Administrative Council for Economic Defense (CADE) has expressed significant concerns over a potential merger between GOL and Azul, two of the country’s leading airlines. While CADE members deem it “almost impossible” to approve the merger without restrictions, they clarified that the proposal does not currently warrant outright rejection.
Abra Group (UK) and Azul (Brazil) have signed a non-binding Memorandum of Understanding (MOU) with the intent to explore a potential combination of their business operations in Brazil. The notice of this development was shared with GOL Linhas Aéreas (Brazil), which clarified that it is not a party to the MOU.
Azul (Brazil) has announced the suspension of flights at nine bases across the states of Ceara, Piaui, Maranhao, and Rio Grande do Norte. This decision also affects the operations of the airline’s subsidiary, Azul Conecta, as part of a broader operational adjustment.
Azul (Brazil) is reportedly on the verge of signing a Memorandum of Understanding (MOU) with Abra Group (UK)in the coming weeks, paving the way for a potential merger with GOL (Brazil). This move could mark a significant shift in Brazil’s aviation market, bringing together two major carriers to create a dominant player in the region.
