Avianca moves for  $1.2 billion DIP financing 

Colombian carrier Avianca has become the latest Latin American airline, after LATAM and Aeromexico, to opt for DIP financing as it navigates in Chapter 11 bankruptcy proceedings in US Federal Court after it announced its seeking $1.2 billion. Avianca has been working with its advisors, led by Seabury Securities, to put in place a DIP financing structure. Avianca’s proposed DIP financing structure consists of a Tranche A senior loan and a Tranche B subordinated loan, under which the airline seeks to obtain a total of approximately $1.2 billion USD of new funds ($900 million USD of Tranche A and $316 million of Tranche