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Mexican airline raised $222.8 million

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Shares opened slightly above issue price

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The IPO was delayed due to market conditions

(Adds details throughout)

Nov 6 (Reuters) - Apollo-backed Grupo Aeromexico's

shares rose 0.84% in their New York Stock Exchange

debut on Thursday, valuing the Mexican airline at nearly $2.8

billion almost four years after emerging from bankruptcy.

Shares of the company opened at $19.16 apiece, just above

the $19 issue price.

Aeromexico and some of its existing shareholders sold 11.7

million American Depositary Shares (ADS) in an initial public

offering on Thursday at the midpoint of its marketed range of

$18 to $20, raising $222.8 million.

The listing comes as the IPO market rebounds following a

slowdown triggered by U.S. President Donald Trump's shifting

trade policies and market volatility.

A rally in equities and interest rate cuts by the U.S.

Federal Reserve have boosted investor demand for fresh

offerings, though a prolonged government shutdown has created

delays.

Aeromexico's debut also lands amid the Trump

administration's

crackdown on Mexican airlines over competition

concerns, leaving investors cautious and waiting for

regulatory clarity.

The U.S. Department of Transportation has moved to

revoke several Mexican airline routes and is in a court dispute

over its order to unwind

Delta and Aeromexico's joint venture

that lets the carriers coordinate scheduling, pricing and

capacity.

Aeromexico, backed by alternative asset manager Apollo

Global and U.S. carrier Delta, had filed for a

U.S. listing last year.

CEO Andres Conesa said in February

that market conditions were not ideal for listing at the

time.

Mexico's legacy airline

Aeromexico filed for Chapter 11 bankruptcy protection in

2020

after the pandemic crushed travel demand, and completed its

restructuring in January 2022

, after lowering costs and upgauging to larger, more

efficient aircraft.

Barclays, Morgan Stanley, J.P. Morgan and Evercore were

the joint lead book-running managers for the listing.