Frontier Airlines acquires $ 570 million initial public offering and begins trading today
The Frontier Airlines Airbus A320 takes off from Los Angeles International Airport on August 27, 2020 in Los Angeles, California.
AaronP | Farmer Griffin | GC Images | Getty Images
Frontier Airlines’ parent company announced that it raised $ 570 million from an IPO. This is the youngest U.S. airline to take this path as the industry sees signs of recovery from the Covid pandemic.
The Denver-based budget airline announced late Wednesday that it had sold 30 million shares at $ 19 each, the low end of the target range, which translates into a valuation of around $ 4 billion.
Frontier begins trading on Thursday under the ticker ULCC, the initials of the ultra-low-cost carrier, on the Nasdaq Global Select Market.
Frontier went public last month after plans were dropped in the summer as the industry struggled with the pandemic.
Another low-cost airline, Sun Country Airlines, went public last month.
Correction: In an earlier version of this article, the first trading day was incorrectly indicated with a bullet point.