Leading airline gategroup announced that its shareholders, RRJ Capital and Temasek, have reached an agreement in principle on a comprehensive restructuring of the company's financial debt.

The proposed deal will provide the gategroup with significant liquidity to meet short and medium term needs and help establish a stable capital structure. As part of the agreement, new financing of CHF 500 million from equity shareholders of CHF 25 million and a subordinated convertible loan of CHF 475 million on completion of the transaction are planned.

At the moment, the parties are working on the final documentation.

“This deal is a key milestone for the group,” said CEO of gategroup Xavier Rossignol. “It will ensure that the gategroup is well positioned to rebuild its position in the industry, and also support its diversification. The group will work to further improve the cost structure and expand the business. "