Spirit Airlines postpones special meeting of stockholders until June 30

Spirit Airlines ©AirTeamImages

Spirit Airlines has announced that it postponed its Special Meeting of Stockholders from June 10, relating to the proposed merger agreement with Frontier Group Holdings, until June 30, 2022 at 9 AM ET. The Special Meeting was postponed to allow the Spirit Board of Directors to continue discussions with Spirit stockholders, Frontier and JetBlue Airways Corporation after the latter has made a counter-offer and now offers to pay Spirit’s stockholders US$350 million as a reverse break-up fee should its takeover be blocked on antitrust grounds by U.S. regulators. Spirit remains bound by the terms of the merger agreement with Frontier Read more

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SAS struggles continue as government refuses to provide cash injection

©SAS

The Swedish government, a major stakeholder in Scandinavian Airlines (SAS), has refused a request by the carrier for an injection of much-needed cash as part of a major restructuring deal announced in February. Both the Swedish and Danish governments have a 21.8% equity stake in SAS and  Swedish industry minister Karl-Petter Thorwaldsson told a news conference that: “We want to be clear that we will not inject new capital into SAS in the future.” However, he did indicate that he would put to the Swedish parliament that SAS be allowed to convert debt into equity. Currently the Swedish government wants Read more

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JetBlue ramps up pressure in battle for Spirit Airlines

©JetBlue

JetBlue Airways Corp (JetBlue) has substantially increased its offer for ultra-low-cost carrier Spirit Airlines (Spirit), ahead of this Friday’s shareholder vote with respect to Frontier Group Holdings’ (Frontier) offer for Spirit. JetBlue is trying to woo Spirit’s current staff with the promise of better pay and benefit, additional jobs, no furloughs and improved career development, despite Frontier’s pledge to increase job numbers by 10,000 by 2026 and no job losses with their proposed merger. However, the main element of JetBlue’s revised offer is an increase in the reverse break-up fee in the event that any accepted offer by the Spirit Read more

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CMA demands CHC Group sell off newly acquired Babcock’s UK helicopter services

©Babcock Airbus H175 helicopter

The UK Competitions and Market Authority (CMA) has concluded its investigation into the acquisition of Babcock’s UK, Denmark and Australian operations by the U.S.-based operator CHC Group (CHC). As a consequence, the CMA has informed CHC it must divest itself of all UK-related oil and gas operations, citing the acquisition’s adverse effect on rivalry. CHC purchased Babcock’s oil and gas aviation business in September 2021 for £10 million and the demand by the CMA does not affect other elements of the business. In April this year CHC had approached the CMA with the suggestion of a partial sale of UK-based Read more

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Frontier Airlines and Spirit Airlines announce amended merger agreement

Spirit Airlines ©AirTeamImages

Spirit Airlines and Frontier Group Holdings, parent company of Frontier Airlines, have announced an amendment to their previously announced merger agreement dated February 5, 2022. Under the terms of the amended merger agreement, which has been unanimously approved by the boards of directors of both companies, Frontier would pay a reverse termination fee of US$250 million, or US$2.23 per share, to Spirit in the unlikely event the combination is not consummated for antitrust reasons. William A. Franke, the Chair of Frontier’s Board of Directors and the managing partner of Indigo Partners, Frontier’s majority shareholder, said, “We continue to believe in Read more

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Re-organised Nordic Aviation Capital poised for growth

Nordic Aviation Capital Designated Activity Company (NAC or the Company) has successfully exited from the Chapter 11 restructuring process, having received confirmation of its Plan of Reorganization from the Bankruptcy Court on April 19, 2022. The Company emerges well-positioned for the future having eliminated nearly US$4.1 billion of debt, while significantly enhancing its liquidity, with access to approximately US$537 million in additional capital to fund operations and growth opportunities. Since September 2021, NAC has focused on four key strategic initiatives, including right sizing the balance sheet, driving organisational change, stabilising the portfolio and pivoting towards growth. Progress has been made Read more

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Aergo Capital announces successful financing of five Dash 8-Q400 aircraft with volofin

Dash 8-Q400 Porter Airlines ©Aergo Capital

Aergo Capital (Aergo) has secured a US$17.5 million loan facility from volofin to assist in the finance and acquisition of five De Havilland Dash 8-400 aircraft on lease to Porter Airlines.   Fred Browne, Chief Executive Officer of Aergo, commented: “We are delighted to have successfully completed the financing of the five-turboprop aircraft on lease to Porter Airlines. Aergo is very happy to complete this third financing transaction with volofin and we are looking forward to doing more business together in the future”. Stewart Tanner, Senior Managing Director at volofin, said: “We are very pleased to have worked with Aergo and Read more

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SAS’ second-quarter loss narrows, looks to raise new equity

©SAS

During the second quarter, SAS has seen the highest number of passengers since the pandemic started. Meanwhile, work on the necessary transformation plan, SAS FORWARD, continues. Passengers flying with SAS increased 28% compared to the previous quarter and the flown load factor reached approximately 67%, up 11 percentage points compared with the earlier quarter while capacity increased by 3% compared to the first quarter. The transformation of SAS has to continue to adapt to the new market conditions in order to be able to remain flexible, competitive and financially strong for the long-term future. Earnings before tax ended at negative Read more

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Altavair closes sale-and-leaseback of four Airbus A220-300 aircraft with airBaltic

airBaltic Airbus A220-300 aircraft ©AirTeamImages

Altavair, a global leader in commercial aviation finance, has announced the closing of a sale-and-leaseback with airBaltic for four Airbus A220-300 aircraft. The acquisition was funded by funds and accounts managed by KKR, with Altavair acting as servicer on the assets. “We are pleased to support airBaltic with this transaction,” said Matt Hoesley, Head of Acquisitions and Investments for Altavair.  “We are very excited about our new relationship with Latvia’s flagship airline and look forward to working with airBaltic as it continues to play an important role in European aviation.” These aircraft are the first Airbus A220 models to be Read more

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IBC Advanced Alloys reports continued profitability in the quarter ended March 31, 2022

IBC Advanced Alloys has reported its financial results for the quarter ended March 31, 2022. IBC booked another profitable quarter with comprehensive income of US$287,000 in the quarter, a 107% increase over comprehensive income of US$139,000 in the prior-year period. This quarter’s success marks IBC’s second consecutive quarter of profitable operations. Consolidated sales of US$6.3 million in the quarter increased by 16.0% over the prior-year period and were higher by 38.8% in the nine months ended March 31, 2022, over the comparable prior-year period. Consolidated adjusted earnings before interest, taxes, depreciation, and amortisation (Adjusted EBITDA) for the quarter ended March 31, Read more

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