Midnight Mike
2010-09-21, 03:29 PM
Is Southwest targeting leisure carrier Sun Country Airlines (http://www.suncountry.com/SCA/index.jsf) for a merger or takeover? Southwest has made no such indication, but one Wall Street analyst thinks the carrier should.
Reuters writes (http://www.reuters.com/article/idUSN2025805920100920) Stifel Nicolaus analyst Hunter Keay thinks Southwest should acquire Minnesota-based Sun Country, a move he says would bolster Southwest's presence in Minneapolis/St. Paul and -- more broadly -- boost the value of the its shares. Reuters adds that "buying Sun Country would also give Southwest access to some international routes [currently flown by Sun Country, [Keay] said."
Keay made his comments in a research note released Monday. In it, he makes it clear that "we have no knowledge" of any merger efforts by Southwest for Sun Country or any other airline. But, he says research by his firm suggests Sun Country is a "tailor made acquisition candidate" for Southwest.
Among the reasons Keay thinks Sun Country would be a good fit for Southwest: Sun Country's presence in the Twin Cities, a recently added Southwest market; complementary fleets and route networks; and that Southwest could "easily afford" the acquisition.
http://travel.usatoday.com/flights/post/2010/09/southwest-sun-country-merger/115108/1
Reuters writes (http://www.reuters.com/article/idUSN2025805920100920) Stifel Nicolaus analyst Hunter Keay thinks Southwest should acquire Minnesota-based Sun Country, a move he says would bolster Southwest's presence in Minneapolis/St. Paul and -- more broadly -- boost the value of the its shares. Reuters adds that "buying Sun Country would also give Southwest access to some international routes [currently flown by Sun Country, [Keay] said."
Keay made his comments in a research note released Monday. In it, he makes it clear that "we have no knowledge" of any merger efforts by Southwest for Sun Country or any other airline. But, he says research by his firm suggests Sun Country is a "tailor made acquisition candidate" for Southwest.
Among the reasons Keay thinks Sun Country would be a good fit for Southwest: Sun Country's presence in the Twin Cities, a recently added Southwest market; complementary fleets and route networks; and that Southwest could "easily afford" the acquisition.
http://travel.usatoday.com/flights/post/2010/09/southwest-sun-country-merger/115108/1