JetBlue shares jump 14% on report airline is exploring sale — 2 years after Spirit deal blocked

JetBlue called off its $3.8 billion merger with Spirit Airlines after a U.S. judge blocked the deal on anti-competition grounds. The termination is a material negative for JetBlue and Spirit's consolidation strategy, is sector-moving for U.S. airlines, and preserves competition in the low-cost carrier segment.

Analysis

JetBlue called off its $3.8 billion merger with Spirit Airlines after a U.S. judge blocked the deal on anti-competition grounds. The termination is a material negative for JetBlue and Spirit's consolidation strategy, is sector-moving for U.S. airlines, and preserves competition in the low-cost carrier segment.