Paul Hastings Advises Bondholders in Confirmed Spirit Airlines Chapter 11 Bankruptcy Exit

Paul Hastings LLP advised an ad hoc group of convertible bondholders in the Chapter 11 bankruptcy cases for Spirit Airlines, Inc. Spirit announced the consummation of its financial restructuring and emergence from bankruptcy on March 12, 2025. As a part of the confirmed Chapter 11 plan, Spirit equitized $795 million of funded debt, received $350 million in new equity investment from its prepetition secured bondholders and convertible noteholders, and issued $840 million in secured notes to the prepetition secured bondholders and convertible noteholders. Spirit expects to relist its shares on a stock exchange as soon as reasonably practicable pursuant to the terms of its Chapter 11 plan.

Financial Restructuring partners Matt Warren, Geoff King and Zach Cochran are leading the Paul Hastings team, which also includes partners James Gallagher, Brian Kelly and Daniel Nicholas; of counsel Gary Silber and associates Andrew Barondess, Tim Cusack, Valerie Eliasen and William Reily.

More details on the transaction can be found here.

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