Norwegian Air Shuttle (NAS) bondholders have voted in favour of changes to investment terms, giving NAS much needed "financial headroom" going forward.
Separate bondholders’ meetings were held in NAS07 and NAS08 in which there were votes in favour of the proposed amendments with sufficient majority.
Last week, NAS requested to extend the maturity dates of its two unsecured bonds in exchange of a security package backed by the take-off and landing slots at London Gatwick Airport. Norwegian’s Gatwick slot portfolio is valued in excess of the current nominal bond value for NAS07 and NAS08 of $380 million.
Acting CEO Geir Karlsen said: “We’re pleased with the bondholders’ decision to amend the bonds as it will give us added financial headroom going forward. We believe it demonstrates faith in our strategy and support of the important measures Norwegian is undertaking to return to profitability. The company’s operational performance continues to improve, and we are on track to reach the targeted cost-reductions of two billion NOK in 2019."
DNB Markets, a part of DNB Bank ASA, and Pareto Securities AS have assisted NAS as financial advisers. BAHR is acting as legal adviser for NAS and Wikborg Rein for the financial advisers.