Norwegian Air Shuttle seeks to amend senior bonds due 2026

By Marisa Wong

Los Angeles, Jan. 8 – Norwegian Air Shuttle ASA is seeking approval from holders of its NOK 3,764,374,501 zero-coupon senior bonds, issue 2021/2026 (ISIN: NO0010996457) to some amendments to the bond terms, according to a notice.

The proposed amendments are intended to facilitate Norwegian Air Shuttle’s acquisition of Wideroe, the Norwegian carrier.

In July Norwegian Air Shuttle entered into an agreement to acquire Wideroe for a cash consideration of NOK 1.125 billion. The transaction was approved by the Norwegian Competition Authority in December and will be implemented in January.

The company said it is proposing to amend the bond terms to facilitate operational flexibility for Wideroe and ascertain standalone financing to support Wideroe as a separate business unit.

The issuer has requested bond trustee Nordic Trustee AS to summon a written resolution for bondholders to approve the proposed amendments.

The issuer is offering a one-time amendment fee of 0.25% of the nominal amount of outstanding bonds payable pro rata to the holders 10 business days after the proposed resolution has been approved.

The resolution will be passed if either: (a) bondholders representing at least a two-thirds majority of the total number of voting bonds vote in favor of the proposal prior to the expiry of the voting period, or (b) a quorum representing at least 50% of the total number of voting bonds submit a timely response to the summons and the votes cast in favor of the proposed resolution represent at least a two-thirds majority of the voting bonds that timely respond to the summons.

The company has informed the bond trustee that it has already received the support of more than two-thirds of the bondholders.

The voting period will expire at 10 a.m. ET on Jan. 22.

Questions may be directed to the issuer (Jesper M. Hatletveit, investor relations; +47 906 64 401; Jesper.Hatletveit@norwegian.com) and to the bond trustee (Jørgen Andersen; andersen@nordictrustee.com).

Further information may also be obtained from the issuer’s financial advisor, DNB Markets (attn.: bond syndicate; Bond.syndicate@dnb.no).

The issuer is a Fornebu, Norway-based airline.

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