Search Travel Market Report

algv
algv
mainlogo
www.travelmarketreport.com
  • News
  • Tours & Packages
  • Cruise
  • Hotels & Resorts
  • Destinations
  • Retail Strategies
  • Niche & Luxury
  • Well-Being Travel
  • Training & Events
  • Who We Are
    • Anne Marie Moebes
    • Brian Israel
    • Dan McCarthy
    • Denise Caiazzo
    • Marilee Crocker
    • Paul M. Ruden
    • Dori Saltzman
    • Kelly Fontenelle
algv

Spirit Airlines Rejects More Lucrative JetBlue Offer Over Regulatory Concerns

by Daniel McCarthy / May 02, 2022
JetBlue Spirit Frontier Deal Merger

Photo: YES Market Media / Shutterstock.com


Spirit Airlines on Monday announced that it was rejecting the deal with JetBlue Airways because it does not believe that U.S. regulators will allow the deal to go through.

Spirit will now look to complete its previous-agreed-to deal with Frontier, a deal that, while worth significantly less than the offer from JetBlue, it believes has a better chance at clearing regulatory hurdles.

“We believe a combination of JetBlue and Spirit has a low probability of receiving antitrust clearance so long as JetBlue’s Northeast Alliance with American Airlines remains in existence,” Spirit said in a statement on Monday.

“Given the substantial completion risk, we believe JetBlue’s economic offer is illusory, and Spirit’s board has not found it necessary to consider it.”  

JetBlue had made an “unsolicited offer” of $33 per share all in cash, weeks after the original offer from Frontier’s parent company Frontier Group Holdings. JetBlue’s offer was reportedly, in total, around $3.6 billion to acquire Spirit, more than the $2.9 billion cash-and-stock merger deal that was on the table with Frontier.

While Spirit had already announced that it had agreed to the Frontier “merger,” the JetBlue offer gave the company second thoughts and Spirit then announced it was set to engage JetBlue in discussions.

Monday’s news ends those discussions and now sets Spirit, and Frontier, on their own mission to get regulatory approval, a task that could be difficult even though Spirit believes it more likely than if it had agreed to the JetBlue deal.

Some lawmakers in the U.S. have already expressed concerns, and others have zeroed in on competition in the airline space, including a federal suit from the Justice Department from last year that targeted an alliance between American and JetBlue.

  14
  0
alg
Related Articles
Spirit Airlines Launches First Idaho Flight
JetBlue Airways Reaches to Deal to Buy Spirit Airlines
Spirit Officially Delays Vote on Frontier Merger to July 27
Lacking Votes, Frontier Asks for Another Delay for Spirit Merger Approval
Spirit Airlines Says It Is Now Engaging JetBlue, Still Working with Frontier
Spirit Delays Vote on Potential Frontier Merger to June 30
Ahead of Shareholder Vote, JetBlue Sweetens Proposal to Acquire Spirit
Spirit and Frontier Add $250 Million Termination Fee to Deal
Spirit Airlines Tells Shareholders to Reject JetBlue Bid
JetBlue’s Deal for Spirit Is Not Done Yet

MOST VIEWED

Brought To You By
  1. Princess Cruises Forced to Adjust Alaska Sailings After White Pass Rail Road Decision
  2. River Cruise Lines Prepare to Deal with Low Water Levels on the Rhine
  3. Updated Cruise Line COVID-19 Vaccination, Booster, & Testing Requirements
  4. Lufthansa Group of Airlines Will Change its Distribution Cost Charge Starting in September
  5. Here Is Some of the New CDC Guidance on Cruise Ship Travel
  6. Southwest Airlines’ Flight Credits Will No Longer Expire

MOST EMAILED

Brought To You By
  1. River Cruise Lines Prepare to Deal with Low Water Levels on the Rhine
  2. Updated Cruise Line COVID-19 Vaccination, Booster, & Testing Requirements
  3. Canada Will Restart Random COVID-19 Testing at Airports Next Week
  4. Southwest Airlines’ Flight Credits Will No Longer Expire
  5. U.S. Passport Wait Time Is Now 8 to 11 Weeks for ‘Routine Service’
  6. Viking Cruises' New Octantis Is So Much More than Just a Cruise Ship
alg
TMR Subscription

Subscribe today to receive daily in-depth coverage, analysis of industry news, trends and issues that affect how you do business. Subscribe now for free.

Subscribe to TMR

Top Stories
Explora Journeys Reveals Culinary & Beverage Offerings Onboard Explora I
Explora Journeys Reveals Culinary & Beverage Offerings Onboard Explora I

Options will include 18 distinct venues including six restaurants.

Read...
Water Levels on the Rhine Are Expected to Reach Critical Levels This Week
Water Levels on the Rhine Are Expected to Reach Critical Levels This Week

River cruise itineraries could soon be impacted by water levels on Europe’s Rhine Europe.

Read...
Sabre Adds Avianca NDC Content
Sabre Adds Avianca NDC Content

Avianca is the first Latin American carrier to get its NDC content through Sabre, a major milestone for the GDS.

 

Read...
American Queen Voyages Unveils Longest U.S. River Itinerary
American Queen Voyages Unveils Longest U.S. River Itinerary

The 1,772-mile, 10-state journey is the longest in the company's history. 

Read...
American Cruise Lines’ Newest River Boat Passes Sea Trials
American Cruise Lines’ Newest River Boat Passes Sea Trials

ACL's newest Mississippi riverboat debuts on August 27. 

Read...
Spirit Airlines Launches First Idaho Flight
Spirit Airlines Launches First Idaho Flight

Ultra-low-cost carrier Spirit Airlines is officially flying from Idaho.

Read...
TMR OUTLOOKS & WHITE PAPERS
lux cruise outlook
CP White Paper
Multi-Gen Outlook
Distribution Outlook (1)
New to Cruise Outlook
River Cruise Outlook 2019
View All
Advertiser's Voice
https://img.youtube.com/vi/U6CJNU-CRPQ/0.jpg
MasterAdvisor 56: How Travel Advisors Can Use Instagram Reels
About Travel Market Report Mission Editorial Staff Advisory Board Advertise
TMR Resources Webinars Calendar of Events
Subscribe to TMR
Select Language
Do You Have an Idea Email
editor@travelmarketreport.com
Give Us a Call
1-(516) 730-3097
Drop Us a Note
Travel Market Report
71 Audrey Ave, Oyster Bay, NY 11771
News|Leisure Travel|Land Vacations|Cruise|Canada Retail Strategies|Well-Being|Luxury|Training
© 2005 - 2022 Travel Market Report, an American Marketing Group Inc. Company All Rights Reserved | 243 South Street, Oyster Bay, NY, 11771 USA | Telephone (516) 730-3097| Terms and Conditions
Cookie Policy Privacy Policy