Proxy advisory firm ISS made an about face on Friday, advising against Frontier Group’s ( NASDAQ: ULCC ) offer for Spirit Airlines ( NYSE: SAVE ).
After Frontier ( ULCC ) declined to improve its offer to compete with JetBlue Airways’ ( JBLU ) overtures earlier this week, the advisory firm shifted its opinion to reject the unchanged offer. The change in opinion is the second for the firm in just over a month.
The advisor backed JetBlue ’s ( JBLU ) offer early in the bidding war for the low cost airline, only to shift its stance by the end of June as Frontier sweetened its offer . Now, without an updated offer from Frontier, the firm has once again changed camps.
Frontier Group Holdings ( ULCC ) shares fell sharply from intraday highs on the news, but remain 1.74% in the green shortly after Friday’s market open.
Read more on the repeated postponement of shareholder votes on the offer .
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ISS shifts view, advises against Spirit-Frontier deal sans improved offer