Gol enters into agreement with Iberia and raises US$ 596.5 million
Valor Econômico
GOL announces today in Madrid, a code share agreement with the Spanish Iberia, less than 24 hours after announcing the raising of R$ 1.026 billion Reais (US$ 596.5 million) through a primary global offering and second public offering. With that operation in the financial market, GOL was able to raise R$ 627.1 million (US$ 364,6 million) only with the issuance of new shares, which represents nearly 20% of the net earnings of the company over the past 12 months. The funds will be used to strengthen its cash flow.
The partnership between GOL and Iberia should also allow the integration of the frequent flier programs of both airlines. This is the fourth international alliance entered into by Gol, controller of Varig, since the beginning of this year. For specialists of the aeronautical sector, this strategy fills the gap left by the company when it decided leaving the long-distance flights in order to concentrate its operation in South America.
In early April, GOL entered into an agreement with Air France-KLM that foresaw two phases of implementation: integration of the frequent flier programs of both companies and implementation of code share agreement. In July, it was the time for Gol to formalize a partnership with American Airlines. Like with Air France-KLM, this agreement foresees the integration of frequent flier programs and, subsequently, the code sharing. GOL announced, in early October, another agreement for the exchange of mileage and seats with AeroMexico. In that alliance, the Mexican company started offering its passengers six destinations operated by GOL/Varig in Brazil. With the code share agreement entered into with GOL AeroMexico passengers may fly with the Brazilian company to Rio de Janeiro, Belo Horizonte, Porto Alegre, Curitiba, Brasilia and Salvador, besides São Paulo.
"Code sharing is an interconnection of traffic where the companies gain the possibility of transporting their passengers to destinations they did not offer", says the aviation specialist consulting firm Bain & Company, André Castellini. With the agreement with Iberia, Gol, he says, gains the chance to increase its participation in the domestic market, at 41.85% in September.