GOL Linhas Aéreas Inteligentes (G3, São Paulo Congonhas) has raised USD345 million from investors through a new issue of exchangeable senior notes due by 2024.
The Brazilian carrier initially issued USD300 million worth of notes at the end of March 2019. Subsequently, on April 17, the carrier notified in a stock market filing that the initial purchasers of the notes exercised their options to purchase an additional USD45 million worth of notes in full.
The notes will bear interest at a rate of 3.75% per year, payable semi-annually in arrears on January 15 and July 15 of each year, beginning on July 15, 2019.
The notes have been formally issued by GOL Equity Finance, a special purpose vehicle registered in Luxembourg.
The notes are exchangeable into American Depositary Shares, each representing two preferred shares of Gol, at the initial exchange rate of 49.3827 ADSs per USD1,000 worth of notes. This rate corresponds to USD20.25 per share. At the closing of trade on April 18, Gol's shares traded for USD12.1 at the New York Stock Exchange.
In early April, Bank of America NA said it increased its stake in Gol to 12.6% through a purchase of the exchangeable notes.
