GOL Secures $600M Financing For Fleet Transformation

Gol Linhas Aereas Inteligentes SA GOL closed the financing of up to $600 million with Castlelake LP to finance the acquisition of new Boeing Co BA 737 MAX 8 aircraft.
The transaction will comprise ten finance leases and two sale-leasebacks. The interest rate for the finance leases is ~6% p.a.
The funds originated will cover 100% of the acquisition cost of the new aircraft and provide resources that will be directed to obligations and return costs on its 737 NG aircraft.
In 3Q21, the company signed agreements for 26 additional MAX 8 aircraft and currently has a total of 102 737 MAX aircraft to be delivered.
The company expects to return up to 18 737 NG aircraft in 2022 and a total of 34 NG aircraft by year-end 2025, further reducing unit costs.
Delivery of these additional 12 Boeing 737 MAX aircraft begins in January 2022.
Also read, GOL Expects Passenger Unit Revenue To Grow 35% In Q4
Price Action: GOL shares traded lower by 6.80% at $5.76 on Monday's last check.