United Airlines Looking to Raise US$ 2.25
Billion with Senior Secured Notes
United Airlines intends to commence a private
offering of $2.25 billion in aggregate principal amount of two
series of notes, the senior secured notes due 2023 and the senior
secured notes due 2025, subject to market and other conditions.
The Notes will be guaranteed by United's parent
company United Airlines Holdings, Inc.
United intends to use the net proceeds from the
offering of the Notes to repay the $2 billion aggregate
principal amount outstanding under the term loan facility that
United entered into on 9 March 2020 and, to the extent that any
net proceeds remain, for general corporate purposes.
terms and amounts of the Notes are subject to market and other
conditions and may be materially different than expectations.
The Notes will be secured initially by first priority security
interests in a designated pool of 360 aircraft owned by United.