SAVE - JetBlue Spirit Airlines Appeal Judge's Ruling Against Proposed Merger | Benzinga
On Friday, JetBlue Airways Corporation (NASDAQ:JBLU) and Spirit Airlines Inc. (NYSE:SAVE) confirmed they’re challenging a federal judge’s decision that prevents their proposed merger on grounds of antitrust.
What Happened: JetBlue’s initial plan was to buy Spirit for $3.8 billion, as agreed in 2022. However, this plan was halted by a federal judge on Tuesday, arguing that the merger would lead to the elimination of the budget airline and result in higher prices for cost-conscious customers.
Following the announcement of the appeal, Spirit’s shares soared over 10% in after-hours trading on Friday, while JetBlue’s shares saw a minor drop. JetBlue has now confirmed the appeal in line with the prerequisites of the merger agreement, reported CNBC.