Grupo Aeromexico SAB and its shareholders, including Apollo Global Management, are seeking to raise up to $314m through a combination of a long-awaited initial public offering and a private placement, over three years after the airline emerged from bankruptcy, according to a report by Bloomberg.
The offering will see Aeromexico list concurrently on the Mexican Stock Exchange and the New York Stock Exchange, with American Depositary Receipts (ADRs) priced between $18 and $20. Apollo, alongside other selling shareholders such as Silver Point Capital and SVP Funds, may sell a significant portion of their stakes, with Apollo alone potentially divesting up to 40.3 million shares.
The private placement includes PAR Investment Partners purchasing $25m at a 5% discount to the IPO price. At the top end of the range, Aeromexico’s valuation would exceed $2.9bn, reflecting renewed investor confidence in the Mexican airline sector.
The IPO marks a return to public markets for Aeromexico, which filed for Chapter 11 in 2020 and exited bankruptcy in March 2022. Barclays, Morgan Stanley, JPMorgan, Evercore, and Apollo Global Securities are leading the offering. Aeromexico’s shares and ADRs are expected to trade under the ticker AERO.
