The possible merger between GOL and Azul gained another chapter this Friday (26), where Revista published an article stating that Azul should buy GOL.
In the publication, Azul’s board considers the purchase of GOL as something concrete, therefore, the possible merger could take place in the coming weeks, with ANAC’s approval of the operation.
It is worth remembering that GOL is in the recovery process in the United States (Chapter 11), with a debt of around R$20 billion reais. Given the possible merger, the merger between the giants would be responsible for a share of around 60% in the domestic market, displacing LATAM Brasil, the current leader in the sector.
Despite speculation, the Brazilian civil aviation market would practically be made up of a duopoly, receiving direct intervention from the Administrative Council for Economic Defense (Cade), making negotiation unfeasible, so that competition is not affected.
Currently, Azul is the largest airline in terms of the number of destinations offered within Brazil, with a large presence in regional airports throughout Brazil, while GOL has a greater share in the busiest airports in Brazil.
So far, GOL has not commented anything on the matter, while Azul recently released a note stating that there are no negotiations with GOL, but reiterates its commitment to keeping shareholders and markets in general informed.
“Azul, aware of its fiduciary responsibility, is always attentive to the strategic dynamics of the airline sector and possible partnership opportunities, and as a regular practice may hire consultants to support the company in these efforts. To date, Azul has not negotiated or approved any specific transaction. Azul is committed to keeping shareholders and the market in general informed about any significant developments related to this matter.”
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