Icelandair Group hf.: Bain Capital enters into binding agreement to subscribe to a 16.6% stake in Icelandair Group

Icelandair Group (“the Company”) and Bain Capital have today, 23 June 2021, reached a binding agreement whereby Bain Capital will subscribe to total of 5,659,094,470 new shares (the „New Shares“) in Icelandair Group at a price of ISK 1.43 per share for a total consideration of ISK 8,092,505,092 (equivalent to USD 66.1 million). The transaction corresponds to a 16.6% stake in the Company once the New Shares have been issued. The agreement is subject to the Company's Shareholders' Meeting...

Reykjavík, 24/06/2021 (informazione.news - comunicati stampa - turismo)

Icelandair Group (“the Company”) and Bain Capital have today, 23 June 2021, reached a binding agreement whereby Bain Capital will subscribe to total of 5,659,094,470 new shares (the „New Shares“) in Icelandair Group at a price of ISK 1.43 per share for a total consideration of ISK 8,092,505,092 (equivalent to USD 66.1 million). The transaction corresponds to a 16.6% stake in the Company once the New Shares have been issued. The agreement is subject to the Company's Shareholders' Meeting agreeing to the transaction and thereby waiving shareholders' pre-emptive rights to the New Shares. The agreement is further conditioned upon the election of Bain Capital's representative to the Company's Board of Directors. The Company expects to call a Shareholders' Meeting on 23 July 2021. Úlfar Steindórsson will step down as a board member from the date of the shareholders' meeting subject to approval of the transaction. The New Shares are subject to a 180-day lock-up period that will commence on the date of the New Shares being admitted to trading on the Nasdaq Iceland Main Market.

In addition to the New Shares, Bain Capital will receive a warrant for subscription rights amounting to 25% of the number of New Shares now purchased. The warrant will be exercisable during a ten-day period immediately following the publishing of the Company's Q2 2022 results. The warrant allows Bain Capital to purchase new ordinary shares in the Company at a price equaling the price per share of the New Shares plus 15% annual interest.

The capital increase will further strengthen Icelandair Group's financial position increasing its capabilities of seizing opportunities in the current unprecedented operational conditions.

“    

“ ”   

Bain Capital, LP is one of the world's leading private multi-asset alternative investment firms that creates lasting impact for our investors, teams, businesses, and the communities in which we live. Since our founding in 1984, we've applied our insight and experience to organically expand into numerous asset classes including private equity, credit, public equity, venture capital, real estate and other strategic areas of focus. The firm has offices on four continents, more than 1,200 employees and approximately $130 billion in assets under management. To learn more, visit www.baincapital.com .

Contact information

Investors: Iris Hulda Thorisdottir, Director Investor Relations. E-mail: iris@icelandairgroup.is
Media: Asdis Petursdottir, Director Communications. E-mail: asdis@icelandair.is