Spirit Airlines again rejects purchase bids from rival frontiers

Spirit Airlines again said it will focus on its own plan to reject a third purchase bid from its budget rival frontier and to stabilise its finances from bankruptcy.

This week’s offer, like the last bid, will provide Spirit’s shareholders with $400 million in debt and 19% stake, as well as a 19% stake in Frontier Group Holdings, the parent company of Frontier.

“We are confident that the combination of spirit and frontiers has created more value than Spirit’s independent plans,” Frontier said late Tuesday. “That being said, we are trained acquirers and focus on offerings for Frontier shareholders when airlines are performing well in a dynamic market environment. ”

This was also the case with the frontier’s offer late last month. It was rejected immediately By the spirit.

Spirit said it provided mutual proposals to the Frontier this month, but it was rejected. Florida airlines held a court hearing on Thursday about the restructuring plan.

Spirit expects to complete the restructuring in the first quarter.

Frontier’s first attempt Merge with spirit It was 2022, but JetBlue outweighed it. but, The Department of Justice sued It says it will raise prices for spirit customers who rely on low fares to block JetBlue’s $3.8 billion proposal. a The federal judge agreed Together with the Department of Justice in January. JetBlue and Spirit deleted the merger bid two months later.

spiritsubmitted by the largest budget airline in the US Bankruptcy protection In November after practicing terms with bondholders. The airline has lost more than $2.5 billion since its launch in 2020, Paying for approaching debts Total of over $1 billion in 2025 and 2026.

Frontier Group shares fell 3% before opening bell on Wednesday.