Quantcast

Spirit Airlines rejects Frontier merger bid amid ongoing restructuring

Engine maker agrees to compensate WizzAir for grounded planes
Turkish Airlines’ flights are riddled with bedbugs, passengers say
British Airways frequent flyers react to Executive Club changes
Inside the short-lived, men-only flights where kids and women were banned but cigar and pipe smoking were rife
China steps up drive to break Boeing, Airbus grip on plane market
Heathrow’s New York service clings to spot in top aviation routes
Airline praises pilots in crash-landing where both died but nearly half the passengers survived
Mexico state airline to buy five Embraer planes next year
A record number of people are expected to fly over the holidays. That's good for travel stocks, but not for passengers.
American Airlines technical issue sparks travel chaos on Christmas Eve as flights heavily delayed after being grounded
Why United Airlines has had such a stellar year despite being Boeing's biggest customer
JetBlue nixing routes between multiple major cities, reducing several others
Airline Stocks Led The Travel Industry's Record 2024 Rally. Here's What's Next.
It’s beginning to look like another record for holiday travel
Qatar Airways cleans up at the World Travel Awards
All of the strikes at European airports this winter – find out if you are affected
Meet the CEO trying to turn around Air India, the 92-year-old airline with a pile of problems
Skiplagging: Unpacking the Risky Travel Trend That Involves Tricking Airlines
Qantas engineers walk off job on one of the busiest travel days of the year
South Korea to safeguard competition after Korean Air, Asiana merger
China Southern returns to Adelaide
Global Airline Industry Revenues Forecast To Top $1 Trillion For First Time In 2025
EasyJet to launch six new routes from the UK next year with £24 flights
Here's Why Analysts Say It's a Good Time to Buy Airline Stocks
A No-Frills Airline Is Getting Into the Premium Game
TAKING OFF: Major airline introduces new inflight service rules with less time to order your drinks
2 Delta flight attendants fail breathalyzer test before flight to JFK
EasyJet reveals plans for new flights from regional UK airport next summer
Airlines not switching quickly enough to green jet fuel, study says
Alaska Airlines tech issue briefly grounds planes in Seattle, disrupts bookings on Cyber Monday
Spirit Airlines rejects Frontier merger bid amid ongoing restructuring
Policy
Webp received 602784789301312
John Bendoraitis Spirit Airlines Executive Vice President and COO | Spirit Airlines Website

Spirit Airlines has once again declined a merger proposal from Frontier Airlines. Spirit stated that the latest offer, termed the 'New Proposal,' did not meet the approval of its stakeholders. The airline plans to continue with its standalone recapitalization strategy.

The New Proposal included an offer for Spirit's stakeholders to receive $400 million in second-lien debt and 19% of Frontier's common equity post-merger. However, it required a waiver of a $35 million termination fee related to a previous agreement. Spirit highlighted several concerns about the proposal, noting it would provide less value than their current reorganization plan and could lead to extended and costly Chapter 11 proceedings.

After reviewing the proposal with legal and financial advisors, Spirit submitted a counterproposal on February 7, seeking $600 million in debt and $1.185 billion in equity for its shareholders. This counterproposal was rejected by Frontier.

Get the Newsletter
Sign-up to receive weekly round up of news from Sky Industry News
By submitting, you agree to our Privacy Policy and Terms of Service. By providing your phone number you are opting in and consenting to receive recurring SMS/MMS messages, including automated texts, to that number from our short code. Msg & data rates may apply. Reply HELP for help, STOP to end. SMS opt-in will not be sold, rented, or shared.

Spirit remains focused on completing its restructuring process, which aims to deleverage the company and position it for long-term success. A hearing to confirm Spirit's reorganization plan is scheduled for February 13, 2025.

Frontier expressed disappointment over the rejection but emphasized their commitment to delivering value for their shareholders. They acknowledged that combining with Spirit could have created more value than Spirit’s standalone plan.

This recent development follows earlier discussions between the two airlines about a potential merger, which were initially reported last year by The Wall Street Journal. In 2022, JetBlue also showed interest in acquiring Spirit, leading to a bidding war that ended when regulatory authorities blocked JetBlue's merger attempt.

Spirit has been navigating financial difficulties and filed for Chapter 11 bankruptcy as part of its efforts to restructure its finances.

Organizations Included in this History
More News

London Heathrow, recognized as Europe's busiest airport, will soon experience an increase in its flight offerings by Oman Air.

Sep 2, 2025

Minneapolis–St. Paul International Airport will commence safety and airfield improvement projects on Runway 12R-30L in two distinct phases throughout 2025.

Aug 22, 2025

Delta Air Lines is adjusting its service between Atlanta and Anchorage, extending flights beyond the summer travel season to a year-round offering.

May 15, 2025

Cathay Pacific has secured two Crystal Cabin Awards at the recent Aircraft Interiors Expo (AIX) held in Hamburg, Germany.

Apr 21, 2025

The Daher TBM series, a staple of general aviation since 1988, has seen over 1,000 units produced across various models, with the TBM 960 as the latest iteration.

Apr 21, 2025

Passengers at Brisbane Airport now have access to a new lounge, courtesy of Escape Lounges, a brand known in the UK and US.

Apr 21, 2025