Originally Posted by
Stayontarget
It only cost F9 220 million more than their initial offer. Not exactly back breaking money. If you want to count the 350m breakup fee than 570 million. But we both know that money almost certainly doesn’t matter for either party.
Indigo IPO'd Spirit and made a few billion dollars.
Indigo owns 85% of Frontier. It is Indigo buying back Spirit for almost zero cash. Deal of a lifetime.
I'm going to go crosseyed listening to what Frontier stock might be worth in three years because it might be worth $5 if there is a recession. Money is not static. It can be reinvested.
The offer from Frontier is worth less than todays Spirit stock price. IOW...... It would be more valuable to a current owner to cash out today and buy back in later as this continues to crash. Indigo will be getting SAVE for less than todays value. Let that sink in.