Aeromexico tender offer to value shares at fraction of market value

Mexican carrier Aeromexico on Thursday said an unnamed third party would make a tender offer valuing its oustanding shares at a fraction of their previous market price as part of its efforts to emerge from bankruptcy. News of the planned tender offer, which would offer 0.01 peso for each outstanding share, sent its shares tumbling nearly 75%. Shares in the company, which filed for Chapter 11 bankruptcy protection in the United States last year amid the pandemic, closed at 3.89 pesos on Wednesday. They were trading at 1.84 pesos in early afternoon in Mexico. The offer gives existing shareholders the chance to withdraw from current capital stock prior to the capitalization of debts. Delta, which had controlled a majority of Aeromexico, would not be taking part in the offer, a statement noted, and its stake will be diluted to 20%. Aeromexico gave no further details about the third party. Carlos Hernandez, senior analyst at Masari Casa de Bolsa, said ownership and management changes often spook the market.<br/>