Brazilian airline Azul works to gain capital through an IPO; investors will need long term vision

During the past few years the Brazilian airline Azul has acquired and merged with TRIP to grow its stature in Brazil's domestic market, and attempted to access the public markets at least two times. After securing equity investments from HNA Group and United, the airline is once again attempting to raise funds through an initial public offering.

Azul's decision to access the public markets once again falls against a backdrop of still tenuous economic conditions in Brazil. The airline has been adjusting its operations as Brazil's economy has weakened - through lower capacity growth, transferring aircraft to partner airlines and returning jets to lessors. However, Azul still has a healthy order book on hand for aircraft replacement and future expansion.

Although Azul's long haul flights to Fort Lauderdale and Orlando that were launched in late 2014 drew much fanfare, its international expansion continues to be measured, with expansion during 2017 pegged for South America, and most notably through the establishment of a new operation in Uruguay.