Allegiant Air Completes Sun Country Acquisition in $1.5 Billion Low-Cost Airline Deal

Allegiant Air completed its acquisition of Sun Country Airlines on May 13, 2026, combining two U.S. low-cost carriers as the budget airline sector faces higher fuel costs and the recent collapse of Spirit Airlines. Las Vegas-based Allegiant said the deal closed after regulatory and shareholder approvals. The transaction was valued at about $1.5 billion, including debt, when announced in January. The combined airline will have about 195 aircraft serving nearly 175 cities across more than 650 routes, with a focus on small and mid-sized markets. Sun Country adds revenue streams including cargo flights for Amazon, charter service for sports teams and casinos, and U.S. Department of Defense work. Allegiant said both airlines will continue operating separately for now, with no immediate changes for customers. Over time, the combined company is expected to operate under the Allegiant name, remain headquartered in Las Vegas and keep Minneapolis-St. Paul as a key hub.