Frontier and Spirit Airlines, Announce $6.6 Billion Merger.
CNBC reports that Frontier Airlines and Spirit Airlines, the United States' two largest low-cost airlines, have agreed to a $6.6 billion merger. .
CNBC reports that Frontier Airlines and Spirit Airlines, the United States' two largest low-cost airlines, have agreed to a $6.6 billion merger. .
The move would reportedly create
the fifth-largest airline in the U.S. .
According to CNBC, the merger
would give Frontier Airlines a controlling
51.5% stake in the combined company.
According to CNBC, the merger
would give Frontier Airlines a controlling
51.5% stake in the combined company.
This transaction is centered around
creating an aggressive ultra-low fare
competitor to serve our guests even
better, expand career opportunities
for our team members and increase
competitive pressure, resulting in more
consumer-friendly fares for the flying public, Ted Christie, President and CEO of Spirit, via CNBC.
The deal was approved by the boards of both companies
and would be the first U.S. airline merger since
Virgin America and Alaska Airlines joined up in 2016. .
CNBC reports that Frontier Chairman Bill Franke said the merger, “will create America’s most competitive ultra-low
fare airline for the benefit of consumers.”.
CNBC reports that Frontier Chairman Bill Franke said the merger, “will create America’s most competitive ultra-low
fare airline for the benefit of consumers.”.
The new name of the combined
carrier has yet to be announced. .
Pending regulatory and shareholder
approval, the transaction is expected
to close in the second half of 2022. .
Pending regulatory and shareholder
approval, the transaction is expected
to close in the second half of 2022. .
CNBC points out that the news comes
as airlines are still trying to recover
from the effects of the pandemic.