Alaska Air to buy Hawaiian Airlines for $1.9 billion

Alaska Air to buy Hawaiian Airlines for $1.9 billion

Alaska Air said on Sunday that it has entered an agreement to acquire Hawaiian Airlines for $1.9 billion, which includes $900 million of Hawaiian Airlines net debt.

Alaska Airlines will acquire Hawaiian Airlines for $18.00 per share in cash, the two companies said, adding that the transaction will unlock more destinations and expand access throughout the Pacific region, continental United States and globally.

The deal is expected to generate high single-digit earnings accretion for Alaska Airlines within the first two years with no anticipated material impact on long-term balance sheet metrics.

“This combination is an exciting next step in our collective journey to provide a better travel experience for our guests and expand options for West Coast and Hawai’i travelers,” said Ben Minicucci, Alaska Airlines CEO.


Alaska airlines
Alaska Airlines will acquire Hawaiian Airlines for $18.00 per share in cash. SOPA Images/LightRocket via Getty Images

The combined organization will be based in Seattle under the leadership of Minicucci, and Honolulu will become a key Alaska Airlines hub.

Alaska Air in October had cut its full-year profit outlook on rising expenses as major US airlines felt the pinch from higher fuel prices, putting a dampener on their outlooks.

Check Also

Tesla reportedly halts Cybertruck deliveries amid complaints over pedal

Tesla reportedly halts Cybertruck deliveries amid complaints over pedal

Tesla has reportedly paused all Cybertruck deliveries as customers have complained of a potentially fatal …

Leave a Reply

Your email address will not be published. Required fields are marked *