GOL announces issue of Secured Amortizing Notes

Rhea-AI Summary

GOL Linhas Aéreas Inteligentes S.A. (NYSE: GOL) announced the issuance of senior secured amortizing notes worth approximately US$200 million through its subsidiary GOL Finance. The notes feature a 5.00% interest rate due in 2026 and a 3.00% rate due in 2025, with an average capital cost of 4.3% per annum. These notes will satisfy certain aircraft leasing obligations and include a 12-month grace period before amortization begins. The securities are secured by unencumbered receivables valued at R$3.0 billion.

Positive

• Issuance of approximately US$200 million in secured amortizing notes.
• Average capital cost of 4.3% p.a. on the new notes.
• Notes secured by unencumbered receivables valued at R$3.0 billion.

Negative

• None.

SÃO PAULO, Dec. 22, 2022 /PRNewswire/ -- GOL Linhas Aéreas Inteligentes S.A. (NYSE: GOL and B3: GOLL4) ("GOL" or "Company" or "GLAI"), Brazil's largest airline, announces that its subsidiary GOL Finance, a public limited liability company (société anonyme) organized under the laws of Luxembourg, has agreed to issue, subject to certain closing conditions, 5.00% senior secured amortizing notes due 2026 (Series A) and 3.00% subordinated secured amortizing notes due 2025 (Series B) in an aggregate amount of approximately US$200 million. The Notes are guaranteed by GLAI and GOL Linhas Aéreas S.A. ("GLA"), and have an average cost of capital to GOL of 4.3% p.a.

The Notes are being issued in exchange for full satisfaction, at 100% of face value, of certain aircraft leasing payment obligations that are under deferral agreements, among other obligations that the participating aircraft lessors chose to exchange for Notes.

The Notes will have on average a 12 month grace period. Following the grace period, the Series A Notes will amortize in ten equal quarterly installments and the Series B Notes will amortize in nine equal quarterly installments and will be contractually subordinated to the Series A Notes. The Notes are callable by GOL at any time at par and are secured by a fiduciary sale assignment of unencumbered receivables (independently appraised at an aggregate value of R$3.0 billion).

GOL Investor Relations
ri@voegol.com.br
www.voegol.com.br/ir
+55 (11) 2128-4700

About GOL Linhas Aéreas Inteligentes S.A. ("GOL")
GOL is the largest airline in Brazil, leader in the corporate and leisure segments. Since founded in 2001, the Company has the lowest unit cost in Latin America, thus democratizing air transportation. The Company has alliances with American Airlines and Air FranceKLM and makes available several codeshares and interline agreements available to Customers, bringing more convenience and simple connections to any place served by these partnerships. With the purpose of "Being the First for All", GOL offers the best travel experience to its passengers, including: the largest number of seats and more space between seats; the greatest platform with internet, movies and live TV; and the best frequent- flyer program, SMILES. In cargo transportation, GOLLOG delivers orders to different regions in Brazil and abroad. The Company has a team of 14,000 highly qualified aviation professionals focused on Safety, GOL's #1 value, and operates a standardized fleet of 145 Boeing 737 aircraft. The Company's shares are traded on the NYSE (GOL) and the B3 (GOLL4). For further information, go to www.voegol.com.br/ri.

The Notes and guarantees have not been and will not be registered under the Securities Act and, unless so registered, may not be offered or sold in the United States except pursuant to an exemption form, or in a transaction not subject to, the registration requirements of the Securities Act.

View original content:https://www.prnewswire.com/news-releases/gol-announces-issue-of-secured-amortizing-notes-301709398.html

SOURCE GOL Linhas Aéreas Inteligentes S.A.

FAQ

What is the total amount of notes issued by GOL?

GOL announced the issuance of approximately US$200 million in notes.

What is the interest rate on GOL's new senior secured notes?

The senior secured notes have an interest rate of 5.00% due in 2026.

When is the amortization schedule for GOL's new notes?

The Series A notes will amortize in ten equal quarterly installments after a 12-month grace period.

What are the collateral securities for GOL's notes?

The notes are secured by a fiduciary sale assignment of unencumbered receivables valued at R$3.0 billion.