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Brazil airline Azul to acquire regional carrier Two Flex -filing

Brazil's third-largest airline, Azul SA, has reached an agreement to buy regional carrier Two Flex for 123 million reais ($29.74 million), the company said in a securities filing on Tuesday

By Aluisio Alves

SAO PAULO, Jan 14 (Reuters) - Brazil's third-largest airline, Azul SA AZUL.N, has reached an agreement to buy regional carrier Two Flex for 123 million reais ($29.74 million), the company said in a securities filing on Tuesday

Two Flex holds departure and landing rights, known as slots, at Sao Paulo's Congonhas airport. The acquisition could allow Azul to expand its footprint at that busy domestic airport, pending approval from Brazil's aviation regulator ANAC.

Congonhas is a particularly coveted airport because of its proximity to Sao Paulo's business districts. Currently, Azul's two larger rivals, Gol Linhas Aereas Inteligentes GOLL4.SA and LATAM Airlines Group LTM.SN, control most of the flights there.

But Azul began making inroads there last year, after obtaining many of the slots previously operated by Avianca Brasil, a carrier that ceased operating last May.

Two Flex operates a fleet of 17 small Cessna Caravan planes with a capacity for 9 passengers each.

Reuters reported the news earlier on Tuesday.

($1 = 4.1365 reais)

(Reporting by Aluisio Alves in Sao Paulo Writing by Marcelo Rochabrun Editing by Chris Reese and Matthew Lewis)

((marcelo.rochabrun@thomsonreuters.com; +55 11 5644 7768;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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