Frontier Airlines Looks to Raise $100 Million in 2nd Airline IPO This Year
Skift Take
Airline IPOs used to be rare, but Frontier now is the second airline in as many months to say it's going public. This is in the midst of the worst crisis the industry has faced in a century. For investors, that spells opportunity.
Frontier Airlines is the second low-cost carrier in a month to file for an initial public offering, clearly seeing opportunity in the prevailing assumption that affordable leisure travel will rebound first from the pandemic.
Denver-based and private equity-owned, Frontier filed paperwork Monday with the Securities and Exchange Commission, stating it is looking to raise $100 million in the offering.
The filing comes on the heels of Sun Country Airlines filing for an IPO in February, a rarity within the industry but amid the growing anticipation that vaccines will encourage more flyers to book flights.
Wall Street is clearly encouraged by that prospect as well. The S&P 500 Airlines Index, tracking carriers' stock performance, is up 24 percent year-to-date.
Frontier is twice the size of Minneapolis-based Sun Country, with a route network of more than 100 destinations, versus Sun Country's rou
