{"id":2115337,"date":"2023-12-04T13:48:01","date_gmt":"2023-12-04T18:48:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/hawaiian-airlines-parent-surges-on-1-9-bln-buyout-deal-with-alaska-air\/"},"modified":"2023-12-04T13:51:30","modified_gmt":"2023-12-04T18:51:30","slug":"hawaiian-airlines-parent-surges-on-1-9-bln-buyout-deal-with-alaska-air","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/hawaiian-airlines-parent-surges-on-1-9-bln-buyout-deal-with-alaska-air\/","title":{"rendered":"Hawaiian Airlines&#8217; parent soars after $1.9 billion acquisition agreement with Alaska Air"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">24<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fhawaiian-airlines-parent-surges-on-1-9-bln-buyout-deal-with-alaska-air%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2115337&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p><!DOCTYPE html PUBLIC \"-\/\/W3C\/\/DTD HTML 4.0 Transitional\/\/EN\" \"http:\/\/www.w3.org\/TR\/REC-html40\/loose.dtd\"><br \/>\n<?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><html><body><\/p>\n<div class=\"entry-content\">\n<h2>Shares of Hawaiian Holdings Soar After Acquisition Announcement<\/h2>\n<p class=\"timestamp\">4:49 PM UTC \u2013 December 4, 2023<\/p>\n<p>(Reuters) \u2013 Shares of Hawaiian Holdings (HA.O), the parent of Hawaiian Airlines, \u200dnearly tripled \u2063on Monday after Alaska\u200b Air Group (ALK.N) agreed to acquire it for $1.9 billion, including debt.<\/p>\n<div id=\"div-gpt-ad-1663871513696-art-3\" style=\"min-width: 320px; min-height: 50px; text-align: center;\">  \t<script>  \t\tgoogletag.cmd.push(function() { googletag.display('div-gpt-ad-1663871513696-art-3'); });  \t<\/script>  <\/div>\n<div class=\"ad-slot__ad-label\">Advertisement<\/div>\n<\/p>\n<p>Hawaiian shares were trading at $13.40 in morning \u200btrade, below Alaska\u2019s \u2062offer price\u200d of $18 per share made public on \u2062Sunday,\u2064 with some\u2064 analysts saying regulatory approval was far from certain.<\/p>\n<p>The company\u2019s shares had taken a beating in <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/mainland-china-says-biden-must-change-u-s-policies\/\" title=\"Mainland China says Biden must change U.S. policies\">recent months due<\/a> to the impact of the Maui wildfires, high fuel \u2062costs and jet engine recall issues at some of its Airbus SE\u2064 (AIR.PA) planes. Its \u2062shares have fallen 52.6% so \u2063far this\u200b year.<\/p>\n<p>Hawaiian presently\u200c has a negative price-to-earnings (PE) ratio of 1.5, reflecting losses, compared to a\u2063 positive forward 12 \u2062months PE ratio of 8.2 \u200bfor Alaska Air, \u2063according to LSEG.<\/p>\n<p>Alaska and Hawaiian\u200c said on Sunday the deal, valued at $929.4 million on an equity basis, will expand their networks and offer more choices to passengers.<\/p>\n<p>\u201cThis transaction\u2064 makes good \u200ccommon sense for both airlines,\u201d TD Cowen analyst Helane Becker wrote in \u200ca note.<\/p>\n<p>The deal will enable Alaska to grow in \u2063the lucrative Asia Pacific \u2062market, while Hawaiian customers\u2064 can travel non-stop to the U.S. mainland, Becker added.<\/p>\n<p>\u201cThe\u200c high premium of the deal is justified by\u2064 the extensive \u2064network synergies the \u200dcombined entity would be able to\u200d achieve, with minimal further investment,\u201d said Craig Jenks, president of New York-based aviation consultancy\u200c Airline\/Aircraft Projects, in reference to the 270% \u200dpremium.<\/p>\n<p>However, regulatory resistance to the\u2063 merger is a possibility. Under a hawkish Biden administration, the \u200dU.S. Justice Department had filed a lawsuit in March to stop JetBlue from buying Spirit Airlines (SAVE.N), saying the planned merger \u201cwould put travel out of \u2062reach for many \u200bcost-conscious travelers\u201d.<\/p>\n<p>JetBlue shares pared losses from premarket to trade flat, while Spirit \u200cshares were\u200b up 6.5% on Monday.<\/p>\n<p>Shares of Seattle-based\u2063 Alaska Air were down 17.6%.<\/p>\n<p><sub>Reporting by Ananta Agarwal and Shivansh Tiwary in \u200dBengaluru; Editing by Krishna Chandra Eluri and Shinjini Ganguli<\/sub><\/p>\n<\/p>\n<div id=\"rc-widget-10bad2\" data-rc-widget data-widget-host=\"habitat\" data-endpoint=\"\/\/trends.revcontent.com\" data-widget-id=\"278641\"><\/div>\n<p class=\"dpsp-share-text\" style=\"margin-bottom:10px\"> \t\t \t\tShare this post!\t<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h3>Is 65% of\u2063 the First Amendment Really Free Speech?<\/h3>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>In the third part of an exclusive\u2063 interview with Missouri Attorney General\u200d Andrew Bailey, One America\u2019s\u200c Chief White House Correspondent Monica Paige <\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Trump\u2019s gag\u200c order is reinstated to Judge Engoron\u2019s delight, The ceasefire in Gaza is extended 1 day and Bob \u2062Iger incurs Elon\u2019s wrath<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>with Rep. Ralph Norman<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<h3>Spanish Media Outlets File $550 Million \u200bLawsuit<\/h3>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Verizon said\u200c it would offer streaming subscriptions to Netflix \u200dand Warner Bros Discovery-owned\u2063 Max platforms \u2064as a bundle to its \u200bcustomers.<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>Global Mega-Cap \u200dCompanies \u2062Experience Surge in Market Capitalizations<\/p>\n<\/p><\/div>\n<div class=\"entry-content\">\n<p>More Advertisers Expected to Leave Elon Musk&#8217;s\u2062 X Platform<\/p>\n<\/p><\/div>\n<p> rnrn  <\/p>\n<h2> \u2062 What\u2062 are the potential benefits\u200c and drawbacks of the merger between Alaska and Hawaiian,\u200b and how might regulatory resistance affect\u200c the airline industry<\/h2>\n<p><span>  Shares of Hawaiian Holdings,\u2064 the parent company of Hawaiian Airlines, experienced a significant increase after Alaska Air Group announced its plan to acquire the company for $1.9 billion, including \u2063debt. This news had a profound impact on Hawaiian Holdings&#8217; \u2064stock\u200c value, causing it to nearly triple in value.<\/p>\n<p>The \u200cagreement\u2064 between the two companies was made public on Sunday, and it <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/pope-francis-moves-ahead-with-new-law-on-sex-abuse-reporting\/\" title=\"Pope Francis Moves Ahead With New Law On Sex Abuse Reporting\">immediately drew attention<\/a>\u200c from investors. However, some analysts have expressed uncertainty regarding regulatory approval\u200c for the\u200d acquisition, leading\u200b to Hawaiian \u2062shares trading at\u200d $13.40, which is below Alaska&#8217;s offer price of $18 per share.<\/p>\n<p>Hawaiian Holdings has faced several\u2062 challenges in recent months, from the devastating Maui wildfires to high\u2062 fuel\u2063 costs and jet engine recall\u200c issues on some of its Airbus SE\u200d planes. As a result, the company&#8217;s shares have\u2062 fallen by 52.6%\u200b this\u200c year, creating a negative price-to-earnings (PE) ratio of 1.5.\u2063 In comparison, Alaska Air boasts a positive forward\u200b 12-month PE ratio of 8.2, reflecting its profitability.<\/p>\n<p>The\u200b deal between Alaska and Hawaiian is valued at $929.4 million on an equity basis. Both \u200ccompanies have highlighted the expansion of their\u200d networks and the increased options\u2062 available to passengers\u2062 as the primary benefits of this acquisition. Analysts, such as TD Cowen&#8217;s\u2064 Helane Becker, have praised the transaction, citing its strategic advantages for both airlines.<\/p>\n<p>Alaska&#8217;s expansion \u200cinto the lucrative Asia Pacific market and Hawaiian customers&#8217; ability \u2064to travel non-stop to the U.S. mainland \u2063have been\u2063 identified as key positive outcomes of the merger. The extensive \u200dnetwork synergies that the combined entity would achieve, with minimal \u200bfurther investment, also contribute to the justification of\u200b the high \u2062premium associated with the deal, as explained\u200c by \u2064Craig Jenks, president of New York-based aviation consultancy Airline\/Aircraft Projects.<\/p>\n<p>Despite these potential benefits, regulatory resistance to the merger remains a possibility. This uncertainty \u200bis a crucial factor that investors will be monitoring closely as they assess the long-term impact of this acquisition on the airline \u200cindustry.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Hawaiian Holdings&#8217; shares surged by almost three times following Alaska Air Group&#8217;s acquisition agreement worth $1.9 billion, encompassing debt. Despite trading at $13.40 in the morning, below Alaska&#8217;s $18 per share offer, Hawaiian shares experienced a significant boost. (55 words)<\/p>\n","protected":false},"author":1911,"featured_media":2115338,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[542],"tags":[],"class_list":["post-2115337","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-oann"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2115337","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1911"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2115337"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2115337\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2115338"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2115337"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2115337"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2115337"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}