Apollo-Backed Aeroméxico Targets $2.9 Billion U.S. IPO
Aeroméxico, backed by Apollo and Delta, aims for a $2.9 billion U.S. IPO, marking its return to public markets after emerging from bankruptcy. The airline plans to sell 11.7 million shares on the NYSE under the ticker “AERO.”
Apollo-Backed Aeroméxico Targets $2.9 Billion U.S. IPO
Mexico City-based airline Aeroméxico aims for a valuation of up to $2.92 billion in its U.S. initial public offering (IPO), marking its return to public markets over two years after emerging from bankruptcy. The carrier and existing shareholders plan to offer 11.7 million American Depositary Shares priced between $18 and $20 each, raising up to $234.5 million.
Backed by Apollo Global Management and U.S. carrier Delta, Aeroméxico filed for Chapter 11 bankruptcy in 2020 due to the pandemic’s impact on travel but successfully restructured and exited in 2022.
Private fund PAR Investment Partners plans to invest $25 million through a concurrent private placement at 95% of the IPO price. Aeroméxico, founded in 1934, was formerly state-owned and went public in 2011, before delisting in 2022 during bankruptcy restructuring.
The airline competes with Mexican low-cost carriers Volaris and Viva Aerobus. Barclays, Morgan Stanley, J.P. Morgan, and Evercore are leading the IPO, which will list on the New York Stock Exchange under the ticker “AERO.”
