Alaska Air To Acquire Hawaiian In $1.9 Bln Deal

(RTTNews) - Alaska Air Group Inc. (ALK) has agreed to acquire Hawaiian Holdings Inc. (HA) for $18.00 per share in an all cash deal valued at about $1.9 billion. The deal includes $0.9 billion of Hawaiian Airlines net debt.

Hawaiian closed Friday's regular trading at $4.86 up $0.37 up 8.24%.

The deal is expected to be accretive to Alaska's earnings within two years post-close with at least $235 million of expected run-rate synergies.

The acquisition is conditioned on required regulatory approvals, approval by Hawaiian shareholders, and other customary closing conditions. It is expected to close in 12-18 months.

Alaska Air noted that the combined organization will be based in Seattle under the leadership of Alaska Airlines Cheif Executive Officer Ben Minicucci.