The boards of Frontier and Spirit have agreed to merge these two airlines in a deal that is expected to clear during the second half of 2022.
Frontier issues stock and cash for Spirit shareholders that will end up with 48.5% of the combined entity. The merge is valued at $6.6B.
Here’s the press release from Frontier & Spirit:
Even if this is called a merger, Frontier essentially buys Spirit Airlines.
Frontier and Spirit Airlines are European & Asian style Low Cost Carriers (LCCs) that advertise low prices and then tack a fee to everything.
They can be a good choice for direct flights with no checked luggage, and you know what you are buying into. You also must understand that it can be days until you get rebooked to your final destination in case of irregular operations.