Norwegian Air gets rescue package worth $1B debt-for-equity swap

The investors of flag carrier Norwegian Air (NWC.OL) backed its rescue plan with more than 95% of shareholders voted in favor of the conversion of nearly $1 billion debt-for-equity swap in Oslo on Monday.

However, pilots and flight attendants of Norwegian Air were furloughed after the company was severely affected by the pandemic. Airlines have sought government rescue packages to avoid bankruptcy after the global aviation industry was forced to ground its fleets.

On Sunday, Norwegian Air bondholders demanded more strategic discussions after they refused to accept the rescue plan on Thursday. According to the airline, Norwegians anticipate the final votes of creditors as “almost 100% a formality” on May 18.

“This has been perhaps the most exciting financial thriller Norway has ever seen,” Chief Executive Officer Jacob Schram said after the investor’s meeting on Monday.