JetBlue bids for Spirit Airlines
05-10-2022, 08:30 AM
#811
The REAL Bluedriver
Joined APC: Sep 2011
Position: Airbus Capt
Posts: 6,905
I heard a couple of Wall Street investment bankers saying the same thing in F on a flight I was on back in 2008. It all starts with lines of credit being tightened. Then pulled.
And B6 doesn't have the money in cash to complete this transaction.
As for risk free, it is not a fairly risk free loan.
You must not have followed the markets in 2001 or 2008. Today's markets are looking pretty similar to those markets.
And this time, the world's central banks are hampered by high inflation so I wouldn't look for a robust rescue from them.
The markets have a long way to fall in order to wring out speculative excesses. And crypto is one of those markets with massive speculation.
And B6 doesn't have the money in cash to complete this transaction.
As for risk free, it is not a fairly risk free loan.
You must not have followed the markets in 2001 or 2008. Today's markets are looking pretty similar to those markets.
And this time, the world's central banks are hampered by high inflation so I wouldn't look for a robust rescue from them.
The markets have a long way to fall in order to wring out speculative excesses. And crypto is one of those markets with massive speculation.
05-10-2022, 08:39 AM
#812
Covfefe
Joined APC: Jun 2015
Posts: 3,001
If markets are going to continue to fall like a 737MAX, it makes Spirit's BODs decision all that much more negligent with respect to it's fiduciary responsibilities to the shareholders. Meaning the value of the F9 offer will only continue to erode relative to JBs offer.
05-10-2022, 08:47 AM
#813
Gets Weekends Off
Joined APC: Mar 2016
Position: 320 Captain
Posts: 172
It could be $2 a share and the Spirit board would probably still reject JB. This is about them milking the new merged Frontier for years if not potentially decades as board members or part of the management team. This is not about the shareholders. Not one bit. The arguments made about a JB buyout could be made the same about Frontier.
05-10-2022, 09:23 AM
#814
Gets Weekends Off
Joined APC: Feb 2009
Posts: 616
Personally I think with the recession that the dip$hit in the White House is about to push us over the edge into, might be better off not getting into any debt on this.
05-10-2022, 01:40 PM
#816
Slave
Joined APC: Oct 2016
Position: Hot tub
Posts: 1,356
Pretty sure this ship has sailed……..
05-10-2022, 01:41 PM
#817
Covfefe
Joined APC: Jun 2015
Posts: 3,001
SAVE isn’t worth $33/sh. Especially in this economy. In fact, Wall street and retail investors currently value SAVE stock at roughly half that. The previous offer could have been $69/sh or $169/sh and it still would have been rejected. In ted’s words, it wasn’t evaluated on an economic basis because in their opinion the chances of DOJ approval is not great and it’s therefore not worth it to try (read differently: Ted and the board want to have jobs after a merger, which they wouldn’t have in a B6 merger). And it’s my belief that SAVE shareholders would be getting a hell of a lot more for their shares with $33 cash than they would with some currently all time low ULCC stock and a few bucks, and due to the recent biden market meltdown and associated lower value of the F9/NK merger deal, a new offer needs to be made by jetblue that more accurately reflects the current value of the company they want to buy. Actually, they ought to just pull the offer altogether because they don’t need to deal with the costs of integrating spirit right now.
05-10-2022, 04:13 PM
#818
Gets Weekends Off
Joined APC: Jan 2018
Posts: 2,277
Too much blue juice? Lol.
SAVE isn’t worth $33/sh. Especially in this economy. In fact, Wall street and retail investors currently value SAVE stock at roughly half that. The previous offer could have been $69/sh or $169/sh and it still would have been rejected. In ted’s words, it wasn’t evaluated on an economic basis because in their opinion the chances of DOJ approval is not great and it’s therefore not worth it to try (read differently: Ted and the board want to have jobs after a merger, which they wouldn’t have in a B6 merger). And it’s my belief that SAVE shareholders would be getting a hell of a lot more for their shares with $33 cash than they would with some currently all time low ULCC stock and a few bucks, and due to the recent biden market meltdown and associated lower value of the F9/NK merger deal, a new offer needs to be made by jetblue that more accurately reflects the current value of the company they want to buy. Actually, they ought to just pull the offer altogether because they don’t need to deal with the costs of integrating spirit right now.
SAVE isn’t worth $33/sh. Especially in this economy. In fact, Wall street and retail investors currently value SAVE stock at roughly half that. The previous offer could have been $69/sh or $169/sh and it still would have been rejected. In ted’s words, it wasn’t evaluated on an economic basis because in their opinion the chances of DOJ approval is not great and it’s therefore not worth it to try (read differently: Ted and the board want to have jobs after a merger, which they wouldn’t have in a B6 merger). And it’s my belief that SAVE shareholders would be getting a hell of a lot more for their shares with $33 cash than they would with some currently all time low ULCC stock and a few bucks, and due to the recent biden market meltdown and associated lower value of the F9/NK merger deal, a new offer needs to be made by jetblue that more accurately reflects the current value of the company they want to buy. Actually, they ought to just pull the offer altogether because they don’t need to deal with the costs of integrating spirit right now.
05-10-2022, 04:18 PM
#819
Gets Weekends Off
Joined APC: Mar 2012
Posts: 992
Rejected by a small group of individual who are self serving and do not have the best interest of their shareholders in mind while they negotiate their golden parachute and next BOD deal. Don't act like it's anything more than that. Please be sure you don't disappear when the plot changes again once the adults in the room have their say.
05-10-2022, 05:03 PM
#820
Gets Weekends Off
Joined APC: Sep 2014
Position: Da Bus, Left
Posts: 1,525
Rejected by a small group of individual who are self serving and do not have the best interest of their shareholders in mind while they negotiate their golden parachute and next BOD deal. Don't act like it's anything more than that. Please be sure you don't disappear when the plot changes again once the adults in the room have their say.
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