Flight Plan: Grupo Aeromexico (AERO Proposed) revealed the terms for its U.S. IPO to raise $222.82 million – in an SEC filing after Friday’s close. Mexico’s only full-service carrier emerged from Chapter 11 bankruptcy proceedings in 2022.
Grupo Aeromexico’s U.S. IPO consists of 11.73 million American Depositary Shares (ADS) at a price range of $18.00 to $20.00 to raise $222.82 million – if priced at the $19.00 mid-point of the range, according to the F-1/A filing dated Oct. 17, 2025. Each ADS equals 10 ordinary shares. This is a New York Stock Exchange listing.
Of the 11.73 million ADS in the offering, Grupo Aeromexico is offering 7.39 million ADSs (7,394,409 ADSs) and the selling shareholders are offering 4.33 million ADSs (4,332,916 ADSs).
Barclays, Morgan Stanley, J.P. Morgan and Evercore ISI are leading the joint book-runners’ team for the U.S. IPO.
Apollo Global Securities, Citigroup, Deutsche Bank Securities, Goldman Sachs, BNP Paribas, BTG Pactual and Santander are also on the book-running team for the U.S. IPO.
MEXICO OFFERING & PRIVATE PLACEMENT
Grupo Aeromexico’s U.S. IPO is being offered at the same time as an offering in Mexico of 27.5 million ordinary shares – also using the proposed symbol AERO – according to the prospectus.
Details of the Mexico offering are available in a separate prospectus in Spanish.
Grupo Aeromexico also plans to raise $25 million in a concurrent private placement to PAR Investment Partners, L.P., or PAR Capital, at 95 percent of the IPO price, the prospectus said. Assuming an IPO price of $19.00 per ADS or $1.90 per ordinary share, “PAR Capital will purchase 13,850,410 shares from us at a price of $1.805 per share,” according to the prospectus.
MEXICO’S LEGACY AIRLINE
Grupo Aeromexico, based in Mexico City, is the only airline that provides long-haul, wide-body service connecting Mexico with the rest of the world, according to the prospectus. The company was founded in 1934. It began flying to New York City and Los Angeles in 1957.
As of June 30, 2025, Aeromexico “served every major city in Mexico and 52 international cities in 22 countries across multiple continents: North America, South America, Europe and Asia.” The airline has a strong business clientele as well as a large presence in “high-demand leisure markets such as Cancun and Puerto Vallarta,” the prospectus said.
Grupo Aeromexico filed for bankruptcy protection during the COVID-19 pandemic in 2020 – and exited Chapter 11 in 2022.
In May 2024, Grupo Aeromexico filed to go public.
The company is profitable, according to the prospectus: Grupo Aeromexico reported net income of $360.8 million on revenue of $5.42 billion for the 12 months that ended June 30, 2025.
(For more information about these companies, please check the IPO Calendar and the individual IPO Profiles found on the IPOScoop.com website.)
Note: Never trade on proposed symbols. They have been known to change and you might buy something on the OTC Bulletin Board.
To see what time the NASDAQ IPOs are expected to trade, please log in to: NASDAQTrader.com then scroll down to IPO Message.
Disclosure: Nobody on the IPOScoop.com staff has a position in any stocks mentioned above, nor do they trade or invest in IPOs. The IPOScoop.com staff does not issue advice, recommendations or opinions.