Fusion Spirit and Frontier is no more, but with jetblue yes

✈️ Exclusive Benefits for Readers

Verified codes to save on your next trip.

The previously announced merger between Spirit and Frontier Airlines, no more, but it will be with JetBlue who managed to convince the shareholders of the yellow airline. CNN photo

JetBlue Airways Corporation y Spirit Airlines, Inc. announced that their boards of directors have approved a definitive merger agreement under which JetBlue will acquire Spirit for $33,50 per share in cash, including a prepayment of $2.50 per share in cash payable upon approval of the transaction by Spirit shareholders and a fee of $0.10 per month from January 2023 until closing, for a total value of total diluted capital of $3.8 billion1 and an adjusted enterprise value of 7600 millions of dollars.

Key points of the merger between Spirit and JetBlue

• The airline will offer its 77 million customers combined more options and options.
• JetBlue plans to bring the JetBlue Experience to all planes, bringing JetBlue's unique combination of low fares and award-winning service to more customers.
• The acquisition will accelerate JetBlue's organic growth plan with more than 1700 daily flights to more than 125 destinations in 30 countries according to the schedules of December 2022.
• Acquisition will increase JetBlue's relevance in certain key focus cities (Fort Lauderdale, Orlando, San Juan and Los Angeles), as well as in the hubs of the big four airlines (Las Vegas, Dallas, Houston, Chicago, Detroit, Atlanta and Miami).
• The combined airline will have a fleet of 458 pro forma aircraft and an order book of more than 300 Airbus aircraft with the option of new engines, the neo engines, fuel efficient and lower carbon emissions, providing greater flexibility and efficiency while mitigating risk. limited availability of aircraft.
• JetBlue hopes to reach $600-700 million in annual net synergies once the integration is complete, driven in large part by expanding offerings for customers as a result of the increased breadth and depth of the combined network.
• The combined company is projected to have annual revenues of approximately $ 11.9 billion based on revenue 2019. JetBlue expects the transaction to significantly increase earnings per share in the first full year after closing..
• JetBlue expects to maintain balance sheet flexibility with post-transaction leverage of 3.0-3.5x, well within historical levels, and continue its deleveraging trajectory as it captures synergies.
• The combined Airbus fleet would include the new A220 and A320neo, proven to deliver double-digit improvements in fuel and carbon emissions. after closing, JetBlue will leverage the combined company's backlog to accelerate the fleet's transition to the next generation of fuel-efficient aircraft..

Completion of the acquisition is subject to customary closing conditions, including receipt of required regulatory approvals and Spirit shareholder approval. The companies expect to complete the regulatory process and close the transaction no later than the first half of 2024.

The airlines will continue to operate independently until the transaction closes and their respective loyalty programs will remain unchanged and customer accounts will not be affected in any way..

Once the acquisition is complete, the combined airline will be based in New York and headed by Robin Hayes.

As previously announced, Spirit has terminated its previous merger agreement with Frontier. JetBlue has rescinded its previously announced all-cash tender offer to acquire Spirit common stock..

✈️ Exclusive Benefits for Readers

Search here for hotels ALL over the world at the best price.