Discount carrier says a merger would be a better path out of bankruptcy for Spirit, which has rebuffed the latest proposal.
Frontier Airlines is attempting for a second time to merge with the now bankrupt Spirit Airlines, which declared bankruptcy late last year as budget airlines struggle.
Budget carrier Frontier Airlines announced on Wednesday that it has made another bid for fellow discount carrier Spirit Airlines, which is in bankruptcy, for an undisclosed sum.
Frontier Airlines is making another offer to merge with bankrupt Spirit Airlines, less than two years after a previous plan fell through.
Denver-based Frontier Airlines says it’s ready to keep talking after bankrupt Spirit Airlines rejected its offer to merge.
Frontier said a merger would be better for long-term viability, making the combination the fifth largest airline in the United States and producing at least $600 million in operational savings. It argued that the deal would offer greater value to Spirit’s stakeholders than the company’s current restructuring plan.
Frontier Airlines’ second attempt at acquiring rival Spirit Airlines could impact not only one but two western Pennsylvania airports although the bankrupt air carrier said it preferred to emerge from bankruptcy protection as a standalone carrier.
Rather than accept Frontier’s offer, Spirit said it will stick to its current plan to emerge from Chapter 11 bankruptcy.
Frontier is making an offer to acquire the beleaguered Spirit Airlines, which filed for bankruptcy in November.
Frontier and Spirit Airlines will once again try to merge, only months after the Biden administration won a key antitrust court battle to block an attempt by JetBlue to buy Spirit.
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