European Airline emerges from a successful Irish restructuring process. has been saved
European Airline emerges from a successful Irish restructuring process.
It is encouraging to see yet another European Airline emerge from a successful Irish restructuring process. Norwegian Air recently announced that they have successfully emerged from Examinership having raised 6 billion Norwegian crowns (€590 million) in fresh capital, the final condition to the restructuring plan for the airline.
Last month, the High Court approved a scheme to save Norwegian Air and the airline now emerges from examinership a leaner more competitive regional carrier. Key aspects of the scheme involved the repudiation of numerous onerous leases, Power by the Hour lease arrangement (until March 2022) and the cancellation of a significant number of aircraft orders.
Norwegian Air has managed to reduce its total debt since the end of 2019 by about NOK 63 billion (€6.1bn) to NOK 65 billion (€6.3bn).
In recent years, the Irish courts have overseen several very significant cross-border restructurings including the Ballantyne Re & Nordic Aviation Capital Schemes of Arrangement and the Weatherford International plc and City Jet DAC restructurings by way of Examinership. The successful examinership exit of Norwegian further demonstrates how Ireland has established itself as a leading restructuring destination in Europe.
Our restructuring services team have advised key stakeholders having provided the Independent Experts Report for both CityJet DAC and the Norwegian group as part of their respective petitions to seek Court protection. We also supported a group of lenders in the scheme of arrangement presented by Nordic Aviation Capital.