JetBlue (JBLU) and Spirit Airlines (SAVE) have called off their $3.8 billion proposed merger after reg꧒ulators blocked the deal.

Spirit🌼 Airlines stock skid nearly 15% as of 11 a.m. Eastern Time Mondﷺay, while shares in JetBlue were trading almost 4% higher.

The deal, announced in July 2022, would have created the fifth-largest carrier in the United States and that brought antitrust scrutiny from regulators. A 澳洲幸运5官方开奖结果体彩网:federal judge ruled against the airlines at the beginning of this year.

While the companies said they still believed in the merits of the transaction, they are giving up on the merger since they won't be able to acquire the necessary approvals by the July 2024 deadline. JetBlue will pay Spirit $69 million to settle the termination of the deal.

“We believed this merge🎶r was worth pursuing because it would have unleashed a national low-fare, high-value competitor to the Big Four airlines,” said Jꦗoanna Geraghty, chief executive officer of JetBlue.

“We are disappointed we cannot move forward with a deal,”꧑ said Spirit CEO Ted Christie. “However, we reꦉmain confident in our future as a successful independent airline.”

Both companies said they would now continue to pursue their own plans to improve profitability, but there are concerns over Spirit's ability to finance a $1.1 billion debt load due in September 2025. An analyst at Cowen said the company could face bankruptcy and be forced out of business due to the collapse of the JetBlue merger, CNN reported.

Spirit Airlines has now lost around 72% of its value since the mergerꦉ deal was first announced.