ALGT - Allegiant wins approval for ultra low cost alliance in Mexico

Allegiant Travel Company ( NASDAQ: ALGT ) has been granted approval for an ultra-low cost alliance for travel between Mexico and the United States.

In a statement released on Monday, Allegiant ( ALGT ) said that its commercial alliance with the Mexico City-based Viva Aerobus was approved by the Federal Economic Competition Commission (COFECE) in Mexico. The carrier highlighted the approval as an important step towards full approval by the US Department of Transportation and the start of routes between the two nations via the value-focused combination.

"This approval is a critical next step to achieving a historic and unique alliance between two low-cost carriers in the world's most dynamic airline market," Allegiant CEO John Redmond said. "Together, we will make it possible for more people to fly and enjoy the unique culture, traditions and scenic destinations both countries have to offer."

The alliance had first been announced by the Las Vegas-based air carrier in December 2021 .

Shares of Allegiant ( ALGT ) rose about 1.1% during Monday’s trading.

Read more on the impact of Hurricane Ian on Allegiant .

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