Brazil based airline Azul has won approval from a US court to start exiting bankruptcy proceedings.
The United States Bankruptcy Court in New York has initially greenlighted the airline’s restructuring plan which has the ‘overwhelming’ support of creditors.
The airline said the court’s ruling confirms that its proposed restructuring is sound and can now be implemented as planned.
Azul filed its restructuring plan three months ago, reduces debt while adding about $950 million in new equity.
Additionally, strategic partners including United Airlines and American Airlines are expected to invest up to $300 million.
The court approval ‘reinforces the overall consistency of the proposed restructuring, enabling the company to advance to the next phases of implementation,’ Azul said.
