08:24 AM EDT, 10/28/2024 (MT Newswires) -- Azul ( AZUL ) said Monday it has negotiated a deal with its current bondholders for up to $500 million in additional financing.

Under the terms, the company anticipates receiving $150 million this week and $250 million before the end of the year, with potential to unlock an additional $100 million, Azul ( AZUL ) said in its 6-K filing with the US Securities and Exchange Commission.

The transaction also includes agreements to improve cash flow by reducing obligations to certain lessors and OEMs over the next 18 months and the potential equitization of up to $800 million of existing debt, conditional on additional cash flow improvements of about $100 million per year, according to the company.

Shares of Azul ( AZUL ) rose more than 7% in recent Monday premarket activity.

Price: 3.0000, Change: +0.20, Percent Change: +7.14