INDIANAPOLIS ― Republic Airways Holdings Inc. said on Tuesday that it will look to separate its Frontier unit and would consider a sale or spin-off.
“We intend to engage financial advisors to determine the most shareholder friendly method to return Frontier Airlines to a healthy, well capitalized and independent, low-cost airline,” Republic Airways CEO Bryan Bedford said during an earnings conference call.
Bedford added that Frontier could be attractive “to private equity or to our shareholders or potentially to a strategic investor.”
Indiana-based Republic, which operates Republic Airlines and Chautauqua Airlines, bought Frontier Airlines out of bankruptcy in 2009.
Shares of Republic Airways were up 37 percent, or 99 cents, to $3.68 on Nasdaq.