Avianca Brasil (O6, Rio de Janeiro Santos Dumont) netted USD147.3 million dollars during a July 10 asset auction conducted by Mega Leilões auctioneers.

During the auction, a total of six isolated business units (Unidade Produtiva Isolada - UPI - or NewCo) containing various Avianca Brasil slots at São Paulo Guarulhos, Rio de Janeiro Santos Dumont, and São Paulo Congonhas, alongside a seventh UPI holding its Amigo loyalty program, were put up for sale.

According to a company statement, GOL Linhas Aéreas Inteligentes (G3, São Paulo Congonhas) and LATAM Airlines Brasil (JJ, São Paulo Congonhas) acquired the bulk of the UPIs with only the Amigo Plan and one UPI containing 23 Congonhas slots going unsold.

  • UPI A: 20 slots at Guarulhos, 12 slots at Santos Dumont, and 18 slots at Congonhas - Sold to Gol for USD70 million;
  • UPI B: 26 slots at Guarulhos, 8 slots at Santos Dumont, and 13 slots at Congonhas - Sold to LATAM Airlines Brasil for USD70 million;
  • UPI C: 6 slots at Guarulhos, 6 slots at Santos Dumont, and 8 slots at Congonhas - Sold to LATAM Airlines Brasil for USD10,000;
  • UPI D: 6 slots at Guarulhos, 4 slots at Santos Dumont, and 4 slots at Congonhas - Sold to Gol for USD10,000;
  • UPI E: 6 slots at Guarulhos, 4 slots at Santos Dumont, and 9 slots at Congonhas - Sold to Gol for USD7.3 million;
  • UPI F: 23 slots at Congonhas - Not sold;
  • UPI Amigo Plan: Membership database and contacts related to the program - Not sold.

However, the sale is not legally binding given Avianca Brasil's claim to the slots is still uncertain. Earlier this week, the ailing carrier appealed a São Paulo commercial court ruling that returned control of the moribund carrier's slots to the Brazilian civil aviation authority (Agência Nacional de Aviação Civil - ANAC) for redistribution.

As such, given the matter is still sub judice, Gol and LATAM cannot lay legal claim to the slots pending the court application's outcome.

Azul Linhas Aéreas Brasileiras (AD, Sao Paulo Viracopos), though qualified to participate in the auction, refused to do so on the grounds it did not recognize the legitimacy of the process.