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Delta Successfully Completes Cash Tender Offer for Additional Shares of Grupo Aeroméxico

DAL

Share purchases and held options set to increase ownership stake in Grupo Aeroméxico to 49 percent

PR Newswire

ATLANTA and MEXICO CITY, March 13, 2017 /PRNewswire/ -- Delta Air Lines (NYSE: DAL) today announced the successful completion of its cash tender offer that commenced on Feb. 13, 2017 through the Mexican Stock Exchange to acquire up to an additional 32 percent of the outstanding capital stock of Grupo Aeroméxico S.A.B. de C.V. (BMV: AEROMEX) for MXN $53.00 per share, which expired at 1:00 p.m. Mexico City time on March 10, 2017.

The offer was oversubscribed, with Delta acquiring 228 million shares representing 32 percent of the outstanding shares of Grupo Aeroméxico and 39.8 percent of the shares tendered in the tender offer, for an aggregate purchase price of approximately USD $620 million/MXN $12.1 billion. All conditions to completing the tender offer, including receipt of required regulatory approvals in Mexico, have been satisfied.

With the completion of the tender offer, Delta owns 36.2 percent of the outstanding shares of Grupo Aeroméxico and holds options to acquire an additional 12.8 percent for a total of 49 percent of the outstanding shares of Grupo Aeroméxico.

"We are pleased to successfully complete the tender offer," said Ed Bastian, Delta's Chief Executive Officer. "This is yet another milestone that strengthens the Delta- Aeroméxico relationship as we move toward implementing our joint cooperation agreement in the second quarter."

Delta and Aeroméxico launched their first codeshare in 1994. In 2011, Delta entered into an enhanced commercial agreement with Aeroméxico, and in 2012, Delta invested USD $65 million in shares of Grupo Aeroméxico, the parent company of Aeroméxico. In March 2015, Delta and Aeroméxico entered into a joint cooperation agreement relating to flights between the United States and Mexico.  That joint cooperation agreement has been reviewed by regulatory authorities in the U.S. and Mexico and will be implemented in the second quarter.

About Delta Air Lines

Delta Air Lines is working to be the best U.S. airline in Latin America and the Caribbean. It has been honored with five World Travel Awards in 2016 in the categories of North America's Leading Airline and Leading U.S. Airline to Central America, to South America, to Caribbean and to Mexico for the second year in a row. Delta has been also recognized with LADEVI's 2016 Insignia Latam Excellence award for its service to the region. Delta continues to grow in Latin America through its long-term exclusive alliances with GOL Linhas Aéreas Inteligentes, Aeroméxico and Aerolíneas Argentinas, and is committed to building a solid regional footprint to enhance its global network and offer its customers the best overall experience. Delta provides service to 33 countries and 55 destinations in the region, offering over 1,900 weekly flights between the U.S. and Latin America/the Caribbean. Delta customers can also receive real-time, on-the-go travel assistance in Spanish and Portuguese through Twitter channels @DeltaAssist_ES and @DeltaAjuda from 9 a.m. to 7 p.m. EST. Brazilian customers can also access Delta's dedicated Brazilian Facebook page at http://www.facebook.com/DeltaAirLinesBrasil.

Delta Air Lines serves more than 180 million customers each year. In 2017, Delta was named to Fortune's top 50 Most Admired Companies in addition to being named the most admired airline for the sixth time in seven years. Additionally, Delta has ranked No.1 in the Business Travel News Annual Airline survey for an unprecedented six consecutive years. With an industry-leading global network, Delta and the Delta Connection carriers offer service to 323 destinations in 57 countries on six continents. Headquartered in Atlanta, Delta employs more than 80,000 employees worldwide and operates a mainline fleet of more than 800 aircraft. The airline is a founding member of the SkyTeam global alliance and participates in the industry's leading transatlantic joint venture with Air France-KLM and Alitalia as well as a joint venture with Virgin Atlantic. Including its worldwide alliance partners, Delta offers customers more than 15,000 daily flights, with key hubs and markets including Amsterdam, Atlanta, Boston, Detroit, Los Angeles, Minneapolis/St. Paul, New York-JFK and LaGuardia, London-Heathrow, Paris-Charles de Gaulle, Salt Lake City, Seattle and Tokyo-Narita. Delta has invested billions of dollars in airport facilities, global products and services, and technology to enhance the customer experience in the air and on the ground. Additional information is available on the Delta News Hub, as well as delta.com, Twitter @DeltaNewsHub, Google.com/+Delta, and Facebook.com/delta.

To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/delta-successfully-completes-cash-tender-offer-for-additional-shares-of-grupo-aeromexico-300422388.html

SOURCE Delta Air Lines