Business

JetBlue agrees to buy Spirit for $3.8 billion

The combined airline would have a fleet of 458 aircraft, making it the fifth largest in the U.S.

A line of Spirit Airlines jets sit on the tarmac at Orlando International Airport on May 20, 2020, in Orlando, Fla. Chris O'Meara / AP Photo The Associated Press

By Associated Press

July 28, 2022

JetBlue, Logan Airport’s largest carrier, has agreed to buy Spirit Airlines for $3.8 billion in a deal that would create the nation’s fifth largest airline if approved by U.S. regulators.

NEWS:

The agreement Thursday comes a day after Spirit’s attempt to merge with Frontier Airlines fell apart. Spirit had recommended its shareholders approve a lower offer from Frontier, saying that antitrust regulators are more likely to reject the bid from JetBlue.

JetBlue said Thursday that it would pay $33.50 per share in cash for Spirit, including a prepayment of $2.50 per share in cash payable once Spirit stockholders approve the transaction. There’s also a ticking fee of 10 cents per month starting in January 2023 through closing.

The combined airline would have a fleet of 458 aircraft. The airlines will continue to operate independently until after the transaction closes.