airBaltic secures €257 million in interim financing from bondholders
The Riga-based airline reached an agreement with existing bondholders and external finance providers for short-term bonds to improve liquidity ahead of a restructuring.
airBaltic said on September 3, 2026 that it had agreed with some current bondholders and outside finance providers to obtain €257 million in interim financing. The money will come from new short-term bonds maturing on February 26, 2027, which those providers have committed to subscribe to.
The agreement still needs approval from remaining bondholders and shareholders at a meeting on September 11, 2026. Other existing bondholders may also take part. If approved, €180 million will become available immediately and the remaining €77 million will be released after the airline meets undisclosed conditions.
The airline said the deal does not depend on financial participation from the Latvian government, though the government may join as a bondholder. Management sees the bond issuance as necessary to strengthen liquidity as airBaltic prepares for a thorough restructuring. That includes disposing of part of its fleet, reducing its network, and lowering ACMI market exposure.
Two weeks earlier, on August 17, 2026, airBaltic announced an agreement with bondholders to make the terms of an existing €380 million credit facility more flexible. The facility carried a 14% interest rate.
Sources
- aerotime.aeroairBaltic secures €257 million financing from its bondholders