Holland & Knight Advises Multiple Aircraft Leasing Companies in Restructuring of Brazil's Azul Airlines
NEW YORK (April 7, 2025) – Holland & Knight acted as counsel for five international aircraft leasing companies in the second restructuring of debts with Azul S.A. (NYSE: AZUL), the largest airline in Brazil by number of flight departures and cities served. The aircraft lessors represented in excess of 25 percent of the Azul leased fleet and outstanding liabilities owed to aircraft lessors. The transaction closed on March 26.
The airline's Azul Secured Finance LLP subsidiary issued $525 million of Floating Rate Superpriority Notes due in 2030 and carried out exchange offers and solicited consents to swap existing first-out and second-out secured notes for nearly $1.8 billion. Holland & Knight successfully negotiated and agreed on the terms for restructuring debts owed by Azul to its clients. These debts, which were initially restructured in 2023 with the Firm also serving as counsel, were converted into a combination of equity and debt. The restructuring included modifications of lease terms and conditions. Throughout the process, Holland & Knight worked to protect the clients' commercial and legal positions to the fullest extent, in both the restructuring and any future insolvency scenarios.
Holland & Knight's representation of the aircraft leasing companies was led by Partners Phillip Durham, John Pritchard, Nathan Leavitt and William Coleman, Senior Counsel Joe Snell and Michael Holt, and Associates Danielle Santucci, Kendall Christiansen and Antonio DiNizo (Asset Finance); Partner Barbra Parlin (Bankruptcy, Restructuring and Creditors' Rights); and Partner Doug Lionberger and Associates Cameron Haltom, Tim Strother and Paige Meno (Capital Markets).
More information on the transaction can be found here.