Azul Linhas Aéreas Brasileiras S.A.’s $579 Million Initial Public Offering


Pinheiro Neto Advogados, Shearman & Sterling, Lefosse and Skadden have advised on the transaction

Azul is offering 63,000,000 preferred shares and certain selling shareholders are offering 9,000,000 preferred shares, for a total of 72,000,000 preferred shares, in a global offering consisting of (i) an offering of preferred shares in Brazil by the Brazilian underwriters, and (ii) a concurrent international offering of preferred shares, including in the form of American depositary shares, or ADSs, in the United States and elsewhere outside of Brazil by the international underwriters. Each ADS represents three preferred shares. The selling shareholders intend to grant the international underwriters and Brazilian underwriters an option to purchase for a period of 30 days beginning on the date hereof up to the first day of trading of the preferred shares on the BM&FBOVESPA for 10,800,000 additional preferred shares at the initial public offering price less the underwriting discount to cover options to purchase additional preferred shares.

The total amount of preferred shares offered in the global offering, including preferred shares represented by ADSs (but excluding preferred shares that may be sold pursuant to the underwriters’ option described above), may be increased by up to 20%, representing 14,400,000 additional preferred shares, including in the form of ADSs to be sold by the selling shareholders upon the agreement of the selling shareholders, Brazilian underwriters and the international underwriters.

Citigroup Global Markets Inc., Deutsche Bank Securities Inc., Itau BBA USA Securities, Inc., Banco do Brasil Securities LLC, Bradesco Securities Inc., J.P. Morgan Securities LLC, Raymond James & Associates, Inc. and Santander Investment Securities Inc., will collectively act as international underwriters with respect to the offering of the ADSs and, together with Safra Securities LLC, as agents on behalf of the Brazilian underwriters with respect to the offering of preferred shares sold outside of Brazil not in the form of ADSs.

Pinheiro Neto has advised Azul Linhas Aéreas Brasileiras S.A. with Henrique Lang, Guilherme Monteiro and Gustavo Chauffaille.

Shearman & Sterling LLP has advised Azul Linhas Aéreas Brasileiras S.A. with Stuart K. Fleischmann (Picture), Alejandro Gordano, Samantha Glover and Mariana Pacini.

Lefosse has advised the underwriters with Carlos Mello, Mauricio Paschoal, Rafael Erlinger, Alícia Alves and Letícia Angel

Skadden has advised the underwriters with J. Mathias von Bernuth, Filipe Areno, Lauren Bennett, Jairo Lamatina and Darius Banani.

Involved fees earner: Carlos Barbosa Mello – Lefosse; Mauricio Paschoal – Lefosse; Rafael Erlinger – Lefosse; Alicia Alves – Lefosse; Henrique Lang – Pinheiro Neto; Guilherme Sampaio Monteiro – Pinheiro Neto; Gustavo Ferrari Chauffaille – Pinheiro Neto; Mathias von Bernuth – Skadden Arps Slate Meager & Flom; Filipe Areno – Skadden Arps Slate Meager & Flom; Lauren Bennett – Skadden Arps Slate Meager & Flom; Jairo Lamatina – Skadden Arps Slate Meager & Flom; Darius Banani – Skadden Arps Slate Meager & Flom; Stuart Fleischmann – Shearman & Sterling; Alejandro Gordano – Shearman & Sterling;

Law Firms: Lefosse; Pinheiro Neto; Skadden Arps Slate Meager & Flom; Shearman & Sterling;

Clients: Citigroup Global Markets Ltd; Deutsche Bank; JP Morgan; Banco Santander Sa; Banco Bradesco BBI S.A.; Itau BBA; BB Banco de Investimentos S.A; Azul Linhas Aéreas Brasileiras SA; Banco J. Safra S.A.;