Allegiant to Acquire Sun Country, Creating Larger Leisure Focused U.S. Carrier
Merger combines flexible capacity models, charter, cargo, and leisure networks
(Las Vegas, Nevada & St. Paul, Minneapolis) Allegiant (NASDAQ: ALGT) announced yesterday (Jan. 11), that it will acquire Sun Country Airlines (NASDAQ: SNCY) in Las Vegas and Minneapolis to scale a leisure focused airline platform by combining fleets, route networks, and diversified flying that includes scheduled service, charter, and cargo operations.
Photo courtesy of Allegiant Airlines.
According to the joint press release, the combined airline is expected to carry about 22 million passengers annually, serve nearly 175 cities, operate more than 650 routes, and fly a fleet of approximately 195 aircraft. The fleet will include both Airbus and Boeing aircraft, with 30 aircraft on order and 80 additional options.
Gregory C. Anderson, Allegiant CEO, said, "This combination is an exciting next chapter in Allegiant and Sun Country’s shared mission in providing affordable, reliable, and convenient service from underserved communities to premier leisure destinations." He added, "With our combined strengths– including operational excellence, consistent profitability, strong balance sheets, and fleet ownership, we will create an even more resilient and agile airline."
Sun Country President and CEO Jude Bricker said, "Today marks an exciting next step in our history as we join Allegiant to create one of the leading leisure travel companies in the U.S." He also said, "We are two customer-centric organizations, deeply committed to delivering affordable travel experiences without compromising on quality."
According to Allegiant, the airline expects to achieve $140 million in annual synergies by the third year after closing, driven by network optimization, fleet deployment, and scale efficiencies.
Operationally, both airlines will continue to fly under separate certificates until a single FAA operating certificate is obtained. There will be no immediate changes to schedules, ticketing systems, or the Sun Country brand.
The combined company will remain headquartered in Las Vegas and will maintain a significant operational presence in Minneapolis St. Paul. The transaction, approved by both boards, is expected to close in the second half of 2026, subject to shareholder votes and regulatory clearance.
