United Airlines Holding Inc. is reviving its attempt to tap the municipal bond market with a new offering. The carrier plans to issue $256 million in junk-rated debt, marking a major comeback for a deal that previously hit a wall. This move represents one of the largest recent entries for the airline in this specific credit segment.

Market volatility forced the company to postpone this particular transaction last year. Investors faced unpredictable conditions that made the timing for a junk-rated sale unfavorable at that time. By returning to the market now, the airline seeks to secure capital despite its lower credit rating, attempting to navigate the same hurdles that stalled its previous efforts.

This issuance serves as a test of investor appetite for high-yield municipal debt from major carriers. Success depends on whether the current market environment can absorb the junk-rated notes without the same friction seen in the previous cycle. The company is now executing a strategy to finalize its largest planned debt move in this category.