Case Study - Trans Maldivian Airways Navigating complexity with calm expertise and proven restructuring methodologies.
Financial Restructuring
Background
World's largest seaplane operator – fleet of over 56 seaplanes. Transporting tourists from central Male International Airport to the atolls.
Covid 19 caused the grounding of all planes and the closure of the Maldivian borders.
TMA found itself in a difficult situation. With no income it was unable to service its interests and principal obligations on its ~USD$312 million senior debt facilities.
TMA was a Bain investment that required recapitalisation.
Appointed to the board of directors to help stabilise the situation and provide support to the management of TMA.
Strategy
Undertook a Board role to stabilise the business and ensure a smooth continuation of operations.
Managed the airline and its stakeholders through the Covid-19 pandemic period.
Advised and implemented operational recommendations following the closure of borders and reopening of international travel.
Raised DIP financing to support ongoing operations and capital needs.
Implemented strategic opportunities to increase revenue streams and minimise costs.
Commenced an M&A sale process of the underlying business. This had significant interest from private equity and distressed funds.
Results
Facilitated a consensual restructuring of the TMA’s outstanding USD$312 million debt.
Successfully restructured TMA’s senior and mezzanine debt facilities.
Operation of the largest seaplanes continued and positioned for growth.
