GOL Linhas Aéreas to Deregister Shares and End U.S. Reporting Obligations

GOL Linhas Aéreas intends to deregister its preferred shares and American Depositary Shares from the U.S. as part of its reporting obligation termination strategy. The airline has recently delisted from the NYSE and is currently under Chapter 11 bankruptcy. Despite these challenges, GOL continues to be traded in Brazil and is considering a merger with Azul Linhas Aéreas.

GOL Linhas Aéreas Inteligentes has announced plans to deregister its preferred shares and American Depositary Shares (ADSs) from the United States, intending to relieve itself of its reporting obligations there. This decision was communicated through a stock market filing made on February 26, whereby the airline notified The Bank of New York Mellon of its ADS programme termination. Subject to the SEC’s approval, the complete deregistration is anticipated to occur within the next 90 days.

The airline, presently undergoing a Chapter 11 bankruptcy process, has already delisted from the New York Stock Exchange (NYSE) following the suspension of its trading on January 26, 2024. The formal delisting from the NYSE took place on February 9, 2024. Despite these changes, GOL will remain publicly traded within Brazil, retaining its listing on the São Paulo Stock Exchange under the ticker GOLL4.

Moreover, GOL aspires to emerge successfully from Chapter 11 by the end of this year. In addition, discussions regarding a potential merger between its parent company, Abra Group, and Azul Linhas Aéreas Brasileiras are currently underway, aiming to consolidate operations between the two Brazilian carriers.

In summary, GOL Linhas Aéreas Inteligentes is set to deregister its shares in the United States as part of its strategy to eliminate reporting obligations. Following its delisting from the NYSE amidst Chapter 11 bankruptcy proceedings, the airline plans to remain publicly traded in Brazil while exploring a merger opportunity with Azul Linhas Aéreas. This move signals a significant operational restructuring for GOL as it aims for recovery.

Original Source: www.ch-aviation.com