Spirit Airlines shareholders are scheduled to vote June 10 on a $2.9 billion buyout offer from Frontier Airlines.
Shareholders will be voting, in effect, whether to take Frontier’s bid and reject a higher offer from JetBlue Airways.
The special meeting was detailed in a regulatory filings by Spirit and Frontier. JetBlue did not immediately comment on Wednesday.
Spirit’s board supports the Frontier deal because of uncertainty about JetBlue’s ability to win approval of its $3.6 billion offer from antitrust regulators.
Spirit shareholders would get more cash from the JetBlue offer. However, Frontier’s proposal would give Spirit shareholders 48.5% of shares in a combined airline, meaning they could come out ahead if the new company’s stock rises in value.
JetBlue would eliminate Spirit as a so-called ultra-low-cost airline, while Frontier would not. Also, the U.S. Justice Department and several states are already suing to block a JetBlue regional partnership with American Airlines on grounds that it reduces competition.