Spirit Airlines Spurns JetBlue Again
In recent weeks, executives at JetBlue Airways (NASDAQ: JBLU) have appeared to grow more optimistic about their chances of acquiring Spirit Airlines (NYSE: SAVE). Just last week, JetBlue raised its buyout offer to $33.50 per share after reviewing financial information disclosed by Spirit.
However, in the latest twist to this airline saga, Frontier Group (NASDAQ: ULCC) -- Spirit's original merger partner -- boosted its offer last Friday. As a result, the Spirit Airlines board has rejected JetBlue's competing proposal again and hopes to win shareholder approval for a merger with Frontier Airlines later this week.
When JetBlue announced its offer for Spirit Airlines in early May, Frontier Group initially refused to get into a bidding war. Frontier executives argued that JetBlue's proposal was illusory because regulators were very likely to block a JetBlue-Spirit combination.
Source Fool.com
