This is the second formal financing offer that is under analysis by the airline.
Latam Airlines received today a new financing proposal for Tranche A of the Debtor in Possession (DIP), a loan to finance the judicial reorganization that the airline opened in the Bankruptcy Court under Chapter 11 in the United States.
It is about from the Jefferies Finance LLC fund, a financial services company dedicated to investment banking and capital markets, asset management and direct investment. According to a statement sent by the airline “The executive team, independent board members and external advisers to the group are evaluating the proposal and contacted Jefferies immediately upon receipt.”
Furthermore, in the brief they explain that “the group’s liquidity remains severely restricted and obtaining financing expeditiously is critical to your future operations. “
In this way, the airline also reiterated that they will evaluate all the viable options that the funds provide, and will analyze “the terms and conditions that satisfy their operational and strategic needs. Above all, Latam is committed to doing what is best for the financial future of the group. “
So far, including Oaktree Capital Manangement, this is the second formal proposal that is under scrutiny from the airline firm linked to the Cueto family, as Latam said on Wednesday that they are also analyzing the financing that Knighthead Capital Management LLC extended.
The new proposal will compete with Oaktree, which is the current lender for $ 1.3 billion.
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