Frontier Airlines proposes merger with Spirit Airlines, but Spirit rejects the offer.

Frontier Airlines is proposing a second merger with bankrupt Spirit Airlines, offering newly issued debt and common stock. Spirit, which filed for bankruptcy in November 2022 after losing over $2.5 billion since 2020, has rejected the offer, stating it is insufficient. The Justice Department previously blocked a competing offer from JetBlue in 2022 due to concerns over higher fares. Frontier believes the merger would create a stronger low-cost carrier, while Spirit is focused on its own exit plan from bankruptcy.

2 months ago
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