Strategic Value Partners Amends LATAM Airlines Stake Filing

TL;DR

SVP just updated their LATAM Airlines filing - ownership change incoming.

AI Summary

Strategic Value Partners, LLC, along with its group members, has filed an amendment to their Schedule 13D on July 26, 2024, regarding their holdings in LATAM AIRLINES GROUP S.A. The filing indicates a change in their beneficial ownership, though specific new percentage or share counts are not detailed in this excerpt. The group, which includes entities like Ashton Gate S.A.R.L. and Victor Khosla, is actively involved in the reporting of their stake in the airline company.

Why It Matters

This filing signals a potential shift in the ownership structure or strategy of LATAM Airlines Group S.A., which could impact its stock performance and future business decisions.

Risk Assessment

Risk Level: medium — Changes in beneficial ownership filings can indicate strategic shifts or potential activism, which may lead to increased volatility.

Key Players & Entities

• Strategic Value Partners, LLC (company) — Filing entity
• LATAM AIRLINES GROUP S.A. (company) — Subject company
• ASHTON GATE S.A.R.L. (company) — Group member
• GREEN PASTORE S.A.R.L. (company) — Group member
• GROUSE MOOR S.A.R.L. (company) — Group member
• MEADOW GARDEN S.A.R.L. (company) — Group member
• STRATEGIC VALUE NEW RISING FUND, L.P. (company) — Group member
• SVP DISLOCATION LLC (company) — Group member
• SVP NEW RISING MANAGEMENT LLC (company) — Group member
• SVP SPECIAL SITUATIONS III-A LLC (company) — Group member

FAQ

Key Financial Figures

• $23.16 — of Common Stock, at a price per ADS of $23.16 (the “Offering Price”) (the

Filing Documents

• tm2420274d1_sc13da.htm (SC 13D/A) — 238KB
• tm2420274d1_ex5.htm (EX-5) — 48KB
• 0001104659-24-083094.txt ( ) — 289KB

Purpose of Transaction

Item 4. Purpose of Transaction.

of the Schedule 13D is amended and supplemented as follows

Item 4 of the Schedule 13D is amended and supplemented as follows: On April 25, 2024, William de Wulf, a director nominee of the Reporting Persons, was elected to the Issuer’s Board of Directors at an ordinary meeting of the Issuer’s shareholders. On July 24, 2024, the Funds entered into an underwriting agreement (the “Underwriting Agreement”) with Goldman Sachs & Co. LLC, Barclays Capital Inc. and J.P. Morgan Securities LLC, each in their capacity as the representative (the “Representatives”) of the several underwriters (the “Underwriters”) named in Schedule I thereof, the Issuer and the other selling shareholders named in Schedule II thereof. Pursuant to the Underwriting Agreement, the Funds sold to the Underwriters 5,960,923 ADS, each representing 2,000 shares of Common Stock, at a price per ADS of $23.16 (the “Offering Price”) (the “Underwritten Offering”). In addition, the Funds granted the Underwriters an option exercisable for 30 days from the date of the Underwriting Agreement to purchase, at the Offering Price, up to an additional 1,039,321 ADS to cover overallotments, if any. The ADS purchased by the Underwriters were issued by JPMorgan Chase Bank, N.A. (the “Depositary”) and are evidenced by American Depositary Receipts (“ADRs”) pursuant to the Deposit Agreement, dated as of September 21, 2017, as amended by the first amendment, dated as of March 12, 2021, and the second amendment, dated as of July 24, 2024 (the “Deposit Agreement”), among the Issuer, the Depositary, and all holders from time to time of the ADRs issued thereunder evidencing ADS representing deposited shares of Common Stock. The Underwritten Offering was effected pursuant to an automatic shelf registration statement on Form F-3 (File No. 333-280866) filed by the Issuer on July 18, 2024. The Underwritten Offering closed on July 26, 2024. In accordance with the Underwriting Agreem

Interest in Securities of the Issuer

Item 5. Interest in Securities of the Issuer.

of the Schedule 13D is amended and supplemented

Item 5 of the Schedule 13D is amended and supplemented as follows: (a)-(b) Items 7 through 11 and 13 of each of the cover pages of this Schedule 13D are incorporated herein by reference. The ownership percentage appearing on such cover pages has been calculated based on 604,441,789,335 shares of Common Stock outstanding as of July 18, 2024, as reported in the Issuer’s prospectus supplement filed with the Securities and Exchange Commission on July 18, 2024. Page 16 of 19 Schedule 13D/A CUSIP No. 51817R205 (c) The disclosure in Item 4 and Schedule A of this Amendment No. 2 to Schedule 13D is incorporated by reference herein. Except for the information set forth or incorporated by reference herein, none of the Reporting Persons has effected any transaction related to the Common Stock during the past 60 days.

Contracts, Arrangements, Understandings

Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer. The disclosure set forth above in Item 4 of this Amendment No. 2 to Schedule 13D is incorporated by reference into this Item 6.

Material to be Filed as Exhibits

Item 7. Material to be Filed as Exhibits

of the Schedule 13D is amended and supplemented

Item 7 of the Schedule 13D is amended and supplemented as follows: Exhibit 5 Lock Up Agreement, dated July 18, 2024 Page 17 of 19 Schedule 13D/A CUSIP No. 51817R205 SIGNATURE After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. Dated: July 26, 2024 STRATEGIC VALUE PARTNERS, LLC By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Chief Financial Officer ASHTON GATE S.A.R.L. By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Manager SVP SPECIAL SITUATIONS V LLC By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Chief Financial Officer WILD HEATH S.A.R.L. By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Manager SVP SPECIAL SITUATIONS III-A LLC By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Chief Financial Officer GROUSE MOOR S.A.R.L. By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Manager SVP SPECIAL SITUATIONS IV LLC By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Chief Financial Officer MEADOW GARDEN S.A.R.L. By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Manager Page 18 of 19 Schedule 13D/A CUSIP No. 51817R205 GREEN PASTURE S.A.R.L. By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Manager SVP DISLOCATION LLC By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Chief Financial Officer STRATEGIC VALUE NEW RISING FUND, L.P. By: SVP NEW RISING GP LTD., its general partner By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Chief Financial Officer SVP NEW RISING MANAGEMENT LLC By: /s/ Lewis Schwartz Name: Lewis Schwartz Title: Chief Financial Officer By: /s/ Victor Khosla Victor Khosla Page 19 of 19 Schedule 13D/A CUSIP No. 51817R205 Schedule A The following table sets forth the shares of Common Stock sold by the Funds pursuant to the Underwritten Offering described in Item 4 of this Amendment N

View Full Filing

View this SC 13D/A filing on SEC EDGAR