The Clap
JetBlue has upped its takeover offer for Spirit Airlines just three days before Spirit’s shareholder meeting which is set to vote on the deal.
The Deets
JetBlue raised its reverse break-up fee, which is the fee it will pay Spirit in the event regulators don’t approve the deal going through, from $350 million to $400 million.
The new offer also includes a $2.5 dividend to Spirit shareholders, up from a previous $1.5, as well as a $0.10/share starting January 2023 until the deal is completed or terminated.
Why this Matters
The bidding war between JetBlue & Frontier seems to be going down to (almost) the last day. Just last Friday Frontier upped its offer, to which Spirit’s board showed its support.
