Azul S.A. moves toward business combination with Gol

Published 01/17/2025, 05:16 AM
AZUL
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SÃO PAULO, January 15, 2025 – Azul S.A. (B3: AZUL4, NYSE: AZUL), a major Brazilian airline, has announced the signing of a non-binding Memorandum of Understanding (MoU) with Abra, the controlling entity of Gol Linhas Aéreas Inteligentes S.A. (“Gol”).

This MoU outlines the preliminary terms for a potential merger between Azul and Gol, which, if realized, would consolidate their operations while maintaining separate air operator certificates under a single corporate structure.

The MoU represents a continuation of discussions previously disclosed to the market, with the aim of enhancing customer offerings and achieving operational efficiencies. The proposed business combination is expected to create a network that serves a broad range of destinations within Brazil, supported by a versatile fleet and a commitment to service excellence.

The completion of this transaction is contingent upon several conditions, including agreement on financial terms, satisfactory due diligence, definitive agreements, corporate and regulatory approvals (including Brazilian antitrust clearance), the successful conclusion of Gol's Chapter 11 reorganization plan, and receipt by Abra of consideration under that plan.

This strategic move comes after Azul's recognition as the most punctual airline globally in 2023 by Cirium and follows its 2020 accolade as the best airline worldwide by TripAdvisor (NASDAQ:TRIP).

The information for this article was obtained from a recent 8-K filing with the Securities and Exchange Commission.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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