Allegiant agrees to acquire Sun Country in ~$1.5B deal

What happened

Allegiant Travel $ALGT announced it will acquire Sun Country Airlines $SNCY in a cash-and-stock deal valued at about $1.5B including debt. Sun Country shareholders get $4.10 in cash plus 0.1557 shares of Allegiant per share, valuing $SNCY at about $18.89 and implying roughly a 19.8% premium to the prior close. Management is targeting about $140M in annual synergies by year 3, and they’re guiding the deal to close in the 2nd half of 2026, subject to approvals. The combined airline would operate roughly 195 aircraft and initially run the carriers separately until they secure a joint FAA operating certificate.

Why it matters

This is leisure-airline consolidation — bigger scale on vacation routes, more negotiating leverage on costs, and potentia ...