Holders of Gol‘s (D/D) USD 367m 8% senior secured 2026 bonds are working on an alternative debtor-in-possession (DIP) financing to present to the Brazilian airline, two sources close to the matter said.

The DIP will likely amount to USD 950m and have a lower cost than the USD 950m DIP financing offered by the ad hoc group of holders of the secured 2028 bonds of Abra Group, the holding company for the operations of Gol and Colombia’s Avianca.

The new DIP proposal could be presented as soon as next week, according to the first source.

“The terms will be more attractive than those proposed by Abra [bondholders],” the first source said, without elaborating.

On 29 January, Gol obtained an interim authorization to access a portion of the USD 950m DIP facility offered by Abra bondholders.

However, a judge at the US Bankruptcy Court for the Southern District of New York expressed concerns about the cost of the DIP facility and asked about the total cost of the loan.

On 13 February, an ad hoc group of 2026 noteholders filed an objection to the DIP offered by the Abra bondholders, arguing that the debtors are trying to prime the 2026 noteholders without providing adequate protection against diminution in value of their liens.

Previously, holders of the 2026s had been trying to participate in the USD 950m DIP financing commitment from the Abra bondholders, without success, according to the two sources.

A spokesperson at Gol did not immediately respond to a request for comment on the matter.

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