Frontier Airlines Makes Aggressive Moves After Failed Spirit Bid

Earlier this summer, Frontier Airlines was set to merge with its rvial budget flier Spirit Airlines, creating a modest giant of relatively low-cost airfare.

However, Spirit shareholders rejected Frontier’s $ 19.99 per share bid for Spirit (SAVE) and instead the company was purchased by JetBlue (JBLU) for $ 33.50 a share, or $ 3.8 billion dollars, pending Federal regulatory review. The merger would create the fifth-largest airline in the world. Spirit will pay around $ 25 million in merger-related costs to Frontier (ULCC) which said it was “disappointed” with the vote result.

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