In a deal reflecting its dual strengths in Latin America and the aviation industry, Milbank, Tweed, Hadley & McCloy LLP has represented long time client Brazilian airline GOL Linhas Aereas Inteligentes S.A. in a $100 million direct minority investment by Delta Airlines.  The investment was announced on December 7, together with a number of enhancements to strategic commercial co-operations.

Delta will receive American Depository Shares representing GOL preferred shares with an issue price of R$22 per share.  The total capital increase will be up to US$150 million, including subscription rights for all GOL shareholders. A Delta representative will also join GOL’s Board of Directors.

Milbank partners Andrew Jánszky and Tobias Stirnberg – both resident in the firm’s São Paulo office – together with NY-based transportation group partner Hugh Robertson and São Paulo associate Felipe Camara advised GOL in the transaction, which aligns the largest discount airline in Latin America with the world’s largest international carrier.