Published on April 20th, 2022 | by Alan Dwyer


NAC Achieves Reorganisation Plan and Expects to Exit Chapter 11 in May

The Limerick based leasing company, Nordic Aviation Capital has announced that the U.S. Bankruptcy Court has confirmed the Company’s Plan of Reorganisation, which should enable the Company to emerge from Chapter 11 before the end of May. The Plan was approved by the Court with the consent of the Company’s existing equity holders and over 99% of voting creditors voting in favour of the Plan, reflecting broad consensus among the Company’s stakeholders. The Plan will reduce NAC’s total outstanding debt by $4.1 billion pursuant to various sales, and recapitalisation transactions. With an infusion of nearly $540 million in new capital through approximately $337 million in new equity financing and $200 million in new revolving credit loans, the Plan achieves significant financial flexibility to support continued investment in the long-term growth of the Company. Additionally, the Plan will extend existing funded debt maturities and effectuate the orderly exit of certain creditor groups from the reorganized NAC structure. NAC’s restructuring will preserve the strength of the platform and the long-standing relationships the Company maintains with its customers and suppliers. The Company will maintain its position as one of the largest lessors globally, with over 350 aircraft on lease to a diverse customer base.

Commenting on the confirmation of the restructuring plan, the Vice Chairman of NAC, Justin Bickle said, “With today’s confirmation, we have achieved a critical milestone for NAC. We are grateful to Judge Huennekens for his diligent oversight of this Chapter 11 case. This important step represents the successful culmination of a lot of hard work by many stakeholders, including months of constructive negotiations with our supportive creditors. On behalf of the entire NAC Board, I want to express our gratitude to all our stakeholders for their continued business and support, without which we would not have been able to confirm our Plan a mere four months after we initially filed.”

Also commenting was the President & CEO of NAC, Norman C.T. Liu who added, “With the Court’s approval of our Plan today and a committed new investor group, we are poised to exit Chapter 11 by the end of next month as a well-capitalised company, with the flexibility and resources to position ourselves for rebound and growth. We appreciate the dedication and support of our employees, customers, and partners during this process and the strong support of our creditors.”

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