Allegiant Air to accumulate Solar Nation Airways for $1.5 billion

Allegiant Air stated it’ll purchase Solar Nation Airways in a cash-and-stock deal valued at about $1.5 billion, together with debt, in a transfer combining two low-cost U.S. carriers targeted on leisure journey.

Executives at each carriers stated their route networks complement one another and that the bigger airline would enhance inexpensive journey choices for passengers. The merged airline will serve about 175 cities with greater than 650 routes and a fleet of roughly 195 plane, the businesses informed buyers Monday.

“Allegiant and Solar Nation have each proven that our leisure-focused, versatile capability fashions are sturdy, thriving and constantly worthwhile, which provides me nice confidence within the potential advantages of mixing our organizations,” Allegiant CEO Gregory Anderson stated.

The deal nonetheless wants approval from regulators and Solar Nation shareholders. It’s anticipated to shut within the second half of 2026.

The airways stated vacationers shouldn’t count on any quick modifications and might proceed reserving and flying with both service as they usually do. Ticketing, flight schedules, the general journey expertise and the Solar Nation model will stay the identical for now.

The merged airline will function below the Allegiant identify and can be headquartered in Las Vegas. It can additionally keep a major presence within the Minneapolis–St. Paul space, the place Solar Nation is predicated, whereas additionally persevering with to function Solar Nation’s constitution and cargo companies, the businesses stated.

Anderson will lead the mixed airline as CEO, and Solar Nation CEO Jude Bricker will be a part of the corporate’s board of administrators.

“I’ve had the privilege of working at each corporations and might say that based mostly on these experiences, this can be a super match throughout the board,” stated Bricker, who beforehand served as Allegiant’s chief working officer in 2016 and 2017.

This story was initially featured on Fortune.com

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