Official announcements from Azul and Gol regarding board appointments

Azul and Gol Sign MoU to Explore Merger, Targeting 60% Market Share in Brazilian Aviation

Jan 15, 2025, 11:38 PM

Brazilian airlines Azul and Gol have signed a non-binding memorandum of understanding (MoU) to explore a potential merger, aiming to create one of the largest airlines in Latin America with over 60% of the market share. The agreement was signed between Azul and Abra, the holding company that controls Gol and Avianca. The proposed merger is seen as a step towards strengthening the Brazilian aviation sector, with the combined entity expected to maintain the separate operational certificates and brands of both airlines. The merger's completion is contingent upon Gol's successful exit from its Chapter 11 bankruptcy proceedings in the U.S., expected by May 2025, and the approval of regulatory bodies including Brazil's antitrust authority. The MoU outlines a governance structure for the new entity, with Azul and Abra each appointing three board members and three independent directors. John Rodgerson, CEO of Azul, has expressed optimism about the merger, stating it aligns with President Lula's vision for a robust national airline. The merger could potentially lead to increased connectivity and growth opportunities within Brazil's aviation market, leveraging the 90% complementary routes between the two airlines.