Spirit Airlines’ stock price has leapt nearly 20% on a report that one time courter Frontier Group Holdings could renew a bid to buy the struggling business.
Frontier Group Holdings is the parent of Sprit’s main low cost rival Frontier Airlines.
Frontier was edged out by JetBlue during a bidding war only for the JetBlue-Spirit deal to get blocked.
The Wall Street Journal claims the two companies have been in recent discussions.
The report suggests a deal would be part of Spirit Airlines’ debt restructuring.
The struggling airline recently secured extra time to renegotiate its debt restructuring.
It is in discussions with bondholders to stave of possible bamkrupcy.
The WSJ report says talks have resumed between the two parties but no deal us guaranteed.
Although Spirit shares saw a positive rise, they are still well down in value by over 80% this year.
By contrast, Frontier Group shares are up over 20% in 2024.
