Deals
Spirit Rejects JetBlue Takeover Bid, Sticks With Frontier Offer
- Carrier’s board says too much risk in unsolicited proposal
- JetBlue was willing to drop Spirit assets in Boston, New York
A Spirit Airlines plane on the tarmac at Fort Lauderdale International Airport in Fort Lauderdale, Florida.
Photographer: Saul Martinez/BloombergThis article is for subscribers only.
Spirit Airlines Inc.’s board unanimously rejected JetBlue Airways Corp.’s unsolicited $3.6 billion takeover bid over concerns it wouldn’t be consummated, saying it would instead stick with a lower offer from Frontier Group Holdings Inc.
“The JetBlue proposal involves an unacceptable level of closing risk,” Spirit Chairman Mac Gardner said in a letter to JetBlue released Monday. “Spirit continues to believe in the strategic rationale of the proposed merger with Frontier and is confident that it represents the best opportunity to maximize long-term shareholder value.”