Airlines
JetBlue Again Sweetens Merger Offer for Spirit Airlines
In its latest offer to merge with Spirit Airlines, JetBlue increases its promised reverse break-up fee to $350 million.
JetBlue aircraft line up at Terminal 5 at JFK Airport in New York. (Photo: Flickr: Creative Commons (BY-SA) by mrkathika)
JetBlue aircraft line up at Terminal 5 at JFK Airport in New York. (Photo: Flickr: Creative Commons (BY-SA) by mrkathika)

In its latest overture to preempt Frontier Airlines’ merger with Spirit Airlines, JetBlue Airlines has submitted what it called an improved proposal to acquire all the outstanding common stock of Spirit, the New York-based LCC said on Monday. The new offer includes an enhanced reverse breakup fee of $350 million in the event antitrust regulators do not approve the deal; accelerated pre-payment of $1.50 per share, or some $164 million in cash, of that fee; and what JetBlue calls a superior, all-cash premium of $31.50 per share consisting of $30 per share at closing and the prepayment of the $1.50 per share of the reverse breakup fee.