A federal judge in Boston blocked JetBlue Airways’ purchase of budget rival Spirit Airlines, a major win for the U.S. justice department, which sued to stop the merger, alleging it would drive up fares for price-sensitive consumers. JetBlue’s proposed $3.8B purchase of discounter Spirit would have produced the country’s fifth-largest airline.
The decision marks a victory for DoJ that has aggressively sought to block deals it views as anti-competitive.
Spirit shares plunged after the decision was announced and were down 60% shortly after 12 Noon CT. JetBlue shares were down about 5% after briefly spiking. (NBC News 01/16/24) Judge blocks JetBlue-Spirit merger in a major win for Biden's Justice Department (msn.com)
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