Particle.news
Download on the App Store

Azul Exits U.S. Chapter 11 With Fresh Funding and Leaner Balance Sheet

Support from major partners gives the carrier fresh runway for its turnaround.

Overview

  • Azul said it completed its U.S. Chapter 11 process after nine months, confirming court approval of its reorganization and a formal exit dated February 20.
  • It repaid debtor-in-possession financing at emergence and finalized a public share offering as part of the restructuring steps.
  • The airline raised about USD 1.375 billion in new senior notes and secured USD 950 million in equity commitments, with participants including American Airlines, United Airlines and AerCap.
  • American Airlines contributed roughly USD 100 million, bolstering the financing package that underpins Azul’s post-restructuring plan.
  • Azul reduced loans by about USD 1.1 billion and cut aircraft lease liabilities by nearly 40%, and it reported new share capital of BRL 21.7 billion divided into approximately 54 trillion common shares.