Frontier Issues Open Letter to Spirit Shareholders Ahead of Vote

The Denver-based carrier is trying to sway Spirit decision makers to merge with it instead of JetBlue.

Michael Wildes

Monday, June 27, 2022 at 04:09 PM ET

Verified

Frontier and Spirit announced plans to merge in February. [Courtesy: Frontier Airlines]

Key Takeaways:

Frontier Airlines has issued an open letter to Spirit Airlines shareholders, urging them to approve its recently sweetened merger offer over a competing bid from JetBlue.
Frontier emphasizes the sound strategic rationale and greater value of its proposal, while arguing that JetBlue's offer faces significant and likely insurmountable antitrust hurdles.
With key proxy firms recommending the Frontier-Spirit merger, the decision now rests with Spirit shareholders, who are scheduled to vote on Thursday.

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After sweetening its offer last Friday to merge with Spirit Airlines (NYSE: SAVE), Frontier (NASDAQ: ULCC) issued an open letter to Spirit’s shareholders to finalize its case for why they should choose Frontier over JetBlue (NASDAQ: JBLU).

Frontier and Spirit announced plans to merge in February before JetBlue decided it wanted Spirit for itself. This has caused much back and forth, particularly between Spirit and JetBlue. Spirit described JetBlue’s offer as “unsolicited” and argued that it wasn’t likely that a deal between them would close due to possible antitrust scrutiny.