Sun Country Airlines jumps after Allegiant agrees to buy carrier for $1.5 billion

Sun Country Airlines Holdings

12/01/2026 14:49

Updates

** Shares of budget airline Sun Country Airlines SNCY.O up 12.9% at $17.8 in early trading

 ** Shares of Allegiant ALGT.O down 4.6% at $90.6

** Low-cost airline Allegiant agrees to acquire SNCY in a deal worth about $1.5 billion, including debt

** Deal values SNCY stock at $18.89 apiece, a ~19.8% premium to its Friday close

** SNCY shareholders to receive 0.1557 ALGT shares and $4.10 cash per share

** Combined airline to operate ~195 aircraft and expand U.S. and international network; headquarters to remain in Las Vegas

** Deal expected to close in H2 2026; $140 million annual savings projected by year three and EPS accretion in first year after transaction is closed

** Allegiant shareholders to own ~67% of combined company, Sun Country holders ~33%

** As of Friday's close, SNCY was up 0.7% and ALGT down 4.4% over the past year

(Reporting by Tharuniyaa Lakshmi and Megavarshini G. Somasundaram in Bengaluru)

((tharuniyaa@thomsonreuters.com))