Why did Spirit Airlines delay its shareholder vote on the Frontier deal?

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Spirit Airlines Postpones Frontier Deal Vote to Pursue JetBlue Acquisition

Spirit Airlines has delayed its shareholder vote on the proposed US$2.4 billion sale to Frontier Group Holdings Inc. This decision allows Spirit to continue negotiations regarding a potential sale to JetBlue Airways Corp. The shareholder meeting, initially scheduled for today, is now expected to be postponed by several days to facilitate these ongoing discussions between Spirit and JetBlue.
JetBlue's Sweetened All-Cash Offer

JetBlue Airways Corp. submitted an improved all-cash bid valued at US$3.7 billion to acquire Spirit Airlines last month. This offer represents a financially more attractive alternative to the existing agreement with Frontier. Despite the higher valuation, Spirit had previously expressed reservations about accepting JetBlue's proposal.
Antitrust Concerns Influence Decision

A primary reason for Spirit's hesitation regarding JetBlue's offer stems from concerns about potential antitrust regulatory challenges. While JetBlue's bid is financially superior, Spirit has been wary that the deal might face significant hurdles or outright rejection from antitrust authorities. This regulatory uncertainty has been a key factor in the ongoing deliberations.
Uncertainty Regarding Deal Finalisation

The outcome of the negotiations between Spirit and JetBlue remains uncertain. There is no guarantee that JetBlue will provide the necessary regulatory assurances that Spirit requires to finalize an agreement. Concurrently, Frontier Group Holdings Inc. has the possibility of submitting a new or revised bid for Spirit, adding another layer of complexity to the situation.

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Why did Spirit Airlines delay its shareholder vote on the Frontier deal?

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