Air France-KLM struggles to protect its stake in Amadeus
Air France-KLM enters into a hedging transaction to protect the value of part of its stake in Amadeus
Air France-KLM has entered into a hedging transaction with Société Générale to protect the value of 12,000,000 ordinary shares it holds in Amadeus IT Holding S.A., representing about a third of its stake. This transaction will allow the Group to protect the value of these shares, while continuing to benefit from the potential upside of the price of its remaining shares (i.e. 5% of Amadeus IT Holding S.A.).
In connection with the hedging transaction, Société Générale is selling circa 7.4 million Amadeus IT Holding S.A. shares by way of an institutional private placement. HSBC is acting as sole bookrunner of the placement.
This transaction is part of Air France-KLM asset and risk management strategy. Air France-KLM continues to support Amadeus management’s strategy.
Amadeus IT Holding S.A. is the parent company of the Amadeus group, a leading provider of IT solutions to tourism and travel industries. The shares of Amadeus IT Holding S.A. are traded on the stock exchanges of Madrid, Barcelona, Bilbao and Valencia.
Air France-KLM, as well as Lufthansa (selling simultaneously part of its Amadeus IT Holding S.A. stake) and Iberia, have each agreed on a lock-up of 90 days.