Apr 6, 2022 - Economy & Business
JetBlue offers to buy Spirit Airlines
JetBlue (Nasdaq: JBLU) on Tuesday made an unsolicited $3.6 billion takeover bid for Spirit Airlines (NYSE: SAVE), which previously agreed to merge with fellow low-cost carrier Frontier (Nasdaq: ULCC).
- The all-cash bid is at a 33% premium to Frontier's cash-and-stock offer.
- It also would prompt an intensive antitrust review, particularly as JetBlue already is dealing with a Justice Department suit over its partnership with American Airlines.
- If JetBlue does manage to get this deal done, expect some of its major carrier rivals to seek out new acquisitions of their own.