Volotea Begins Third Debt Restructuring Talks with SEPI and Lenders

Volotea has launched a new round of debt restructuring negotiations with Spain’s state-owned holding company SEPI and its lending banks as the airline seeks to strengthen its financial position.

The carrier has appointed FTI Consulting to advise on the process, citing the firm’s experience with SEPI and complex restructurings. Banks involved in the financing are also expected to appoint advisers as negotiations begin.

The discussions cover the airline’s outstanding debt, including a €200 million participative loan provided by SEPI in 2022 through Spain’s Strategic Companies Solvency Fund, as well as bank facilities backed by Spain’s Official Credit Institute (ICO). This marks the third restructuring of the airline’s debt obligations since receiving pandemic-era financial support.

Volotea previously secured extensions on both principal and interest payments, supported by a €71 million capital injection from existing shareholders, including Aegean Airlines, PAR Capital and the airline’s management team.

Despite those measures, the airline has reported net losses in every financial year since 2019. While Volotea has indicated that 2025 is expected to deliver its strongest financial performance to date, the company has not yet disclosed whether it expects to return to net profitability.