JetBlue Warns of Potential Termination of Proposed $3.8 Billion Acquisition of Spirit Airlines

Spirit Airlines' Stock Plummets as JetBlue Cites Unmet Closing Conditions; Both Airlines Previously Filed Appeal Against Merger Blockage

JetBlue Airways has warned Spirit Airlines that it may terminate its proposed $3.8 billion acquisition of the company this weekend, citing that certain closing conditions have not been met.
Spirit Airlines' stock plummeted 13.4% on Friday, nearing its record closing low, while JetBlue's stock surged 3.6%.
The proposed merger was previously blocked by a U.S. District Judge in Boston, who sided with the Justice Department, finding that JetBlue's acquisition would hamper competition and raise fares for customers.
Spirit Airlines and JetBlue announced on Jan. 19 that they filed appeal notices with the U.S. Court of Appeals for the First Circuit to contest the ruling.
Spirit Airlines has collapsed 62% so far this year, while JetBlue is trading above its 50-day line, but still nearly 43% below a July high.