Brazil’s Gol has extended the deadline for investors to analyse its proposed $1.9bn exit financing plan, citing market volatility in the wake tariffs announced by US President Donald Trump earlier this month.
A new deadline for investor commitments has now been set for May 15, 2025, just under four weeks after an original deadline of April 19, 2025.
The carrier said to allow time for capital markets to “absorb the implications” of President Trump’s tariffs, it has sought and obtained the extension from backers Castlelake and Elliott Management.
Seabury Securities, which is acting as Gol’s investment banker, notified prospective investors on April 4, 2025, that the company would extend this deadline for submission.
The financing package includes a 13.875% coupon and a 1.5% original issue discount, with commitment fees varying by investment size.
A confirmation hearing is scheduled for May 20, 2025, with Gol noting that it could exit chapter 11 as early as June this year.
Gol, which first filed for chapter 11 bankruptcy protection in January 2024, entered into an exit financing commitment with certain investors on March 24, 2025. The investors were not disclosed.
The commitment parties committed to purchase up to $1.25bn of the $1.9bn in debt instruments to be issued as part of its chapter 11 proceedings and will be used to repay obligations under a debtor-in-possession (DIP) financing.