Aeromexico Wins U.S. Court’s Approval to Exit Bankruptcy
- Judge Shelley Chapman approved the plan on Friday afternoon
- Aeromexico reached last-minute deals with holdout creditors
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Grupo Aeromexico SAB won court approval to eliminate $1.1 billion in debt and hand an ownership stake to Apollo Global Management Inc., the investment firm that helped keep the airline afloat after it filed bankruptcy in reaction to the Covid-19 pandemic.
The ruling from U.S. Bankruptcy Judge Shelley Chapman came after the company cut last-minute deals with holdout creditors, including Invictus Global Management and Corvid Peak Capital Management. They had objected to the reorganization proposal, which would hand ownership stakes to senior debt holders Apollo and Delta Air Lines Inc.