24-Mar-2011 4:11 PM
AirTran shareholders appove acquisition by Southwest
Analysis
Southwest Airlines confirmed that shareholders of AirTran have overwhelmingly approved the proposed acquisition of AirTran by the carrier. The transaction remains under review by the US Department of Justice and is subject to certain other regulatory clearances.
Summary
- Southwest Airlines shareholders have approved the acquisition of AirTran.
- The acquisition is still under review by the US Department of Justice and other regulatory bodies.
- The transaction is expected to close in the second quarter of 2011.
- Southwest Airlines' shares rose by 0.8% after the announcement.
- AirTran's shares also increased by 0.5%.
- Air Canada B Shares experienced a 3% decrease, while Brazilian LCC GOL saw a 2.5% increase in their share prices.
Southwest anticipates the transaction to close in 2Q2011. Shares in Southwest were up 0.8% while AirTran shares rose 0.5%, on a mixed day for North and Latin American airline stocks
Major movers were Air Canada B Shares, down 3% and Brazilian LCC GOL, which rose 2.5%.
Selected AAD daily share price movements (% change): 23-Mar-2011
