Allegiant to buy Sun Country in $1.5 billion cash and stock deal
CNBC••general
Key Points:
- Allegiant Travel announced it is acquiring Sun Country Airlines in a $1.5 billion cash and stock deal amid rising costs and increased domestic capacity in the U.S. budget airline sector.
- Sun Country shareholders will receive 0.1557 shares of Allegiant common stock plus $4.10 in cash for each Sun Country share they own.
- The acquisition values Sun Country shares at an implied price of $18.89 each, representing nearly a 20% premium over its closing stock price of $15.77 on the previous Friday.
