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May 19, 2022, 6:56 a.m. EDT

Spirit Airlines urges shareholders to reject JetBlue's $30-a-share cash tender offer

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By Ciara Linnane

Spirit Airlines Inc. /zigman2/quotes/205782179/composite SAVE -1.80% said Thursday its board has unanimously determined that JetBlue Airways Corp.'s /zigman2/quotes/207639051/composite JBLU +2.63% $30-a-share cash offer is not in the best interest of the airline and its shareholders and is urging the latter to reject the tender launched by JetBlue earlier this week. "In its comprehensive analysis, the Board determined that the JetBlue transaction faces substantial regulatory hurdles, especially while the Northeast Alliance ("NEA") with American Airlines /zigman2/quotes/209207041/composite AAL -3.48% remains in effect, and is, as a result, not reasonably capable of being consummated and is not superior to Spirit's agreed merger transaction with Frontier /zigman2/quotes/211317788/composite ULCC +0.96% ." Spirit had already reiterated earlier in May its support for the merger deal with Frontier Group Holdings Inc., that it had agreed before JetBlue swept in with an offer. The airline said it does not believe that a deal with JetBlue would be approved by the regulator. Spirit shares were down 1.7% premarket, JetBlue was down 0.3% and Frontier was down 3.6%. The U.S. Global Jets ETF /zigman2/quotes/207744796/composite JETS -1.48% has fallen 7% in the year to date, while the S&P 500 /zigman2/quotes/210599714/realtime SPX -0.07% has fallen 17.7%.

/zigman2/quotes/205782179/composite
US : U.S.: NYSE
$ 22.41
-0.41 -1.80%
Volume: 3.16M
June 29, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$2.48 billion
Rev. per Employee
$350,485
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/zigman2/quotes/207639051/composite
US : U.S.: Nasdaq
$ 8.96
+0.23 +2.63%
Volume: 14.76M
June 29, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$2.80 billion
Rev. per Employee
N/A
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/zigman2/quotes/209207041/composite
US : U.S.: Nasdaq
$ 13.03
-0.47 -3.48%
Volume: 34.31M
June 29, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
0.00%
Market Cap
$8.77 billion
Rev. per Employee
$242,156
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/zigman2/quotes/211317788/composite
US : U.S.: Nasdaq
$ 9.51
+0.09 +0.96%
Volume: 2.81M
June 29, 2022 4:00p
P/E Ratio
N/A
Dividend Yield
N/A
Market Cap
$2.05 billion
Rev. per Employee
$374,409
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/zigman2/quotes/207744796/composite
US : U.S.: NYSE Arca
$ 16.68
-0.25 -1.48%
Volume: 5.32M
June 29, 2022 4:00p
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/zigman2/quotes/210599714/realtime
US : S&P US
3,818.83
-2.72 -0.07%
Volume: 2.11B
June 29, 2022 5:16p
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