Brazil’s Azul backs off from LATAM bid, citing valuation concerns
SAO PAULO (Reuters) -Azul SA confirmed making an offer this month to combine with Chile’s LATAM Airlines Group, which is in bankruptcy proceedings, but the Brazilian airline said it had since decided to focus on its own operations. The Brazilian airline said its non-binding proposal submitted on Nov. 11 had included around $5 billion in equity financing and was backed by some creditors of LATAM. However, Azul added that LATAM’s valuation in the bankruptcy proceedings had become higher than it found acceptable, citing ongoing uncertainty in the aviation industry amid the COVID-19 pandemic, especially in long-haul markets.
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