Update on Potential ULCC Merger: “Flair Would Absorb Lynx”

UPDATE: According to inside track publication, The Airline Observer, “Flair, an airline part-owned by Miami private equity firm 777 Partners, would absorb Lynx, which is backed by Canadian investors and Bill Franke's Indigo Partners, according to the sources. Franke has been serving as chairman of Lynx’s board.”

Lynx and Flair Merger in the Works; Deal Could Come Today

Published reports say Flair and Lynx are talking about a merger, a move that would drastically alter the Canadian aviation landscape and solidify each carrier’s survival chances.

The Toronto Star writes three separate sources said an announcement could come as soon as today. But neither side appears to be confirming the potential merger.

The Airline Observer also said a deal could be made public soon.

“As a company policy, we refrain from commenting on rumours or speculation. Our focus remains on delivering value to our customers and stakeholders through our products and services,”  airline spokesperson Gabrielle Poirier said in an email to the Star.

Lynx didn't immediately respond to requests for comment.

Flair and Lynx both occupy the ultra-low-cost airline space in Canada. Experts have been saying for months that it was likely Canada would lose an airline at some point given the growth of airlines such as Flair, Lynx and Canada Jetlines, not to mention the dramatic expansion by Porter Airlines.

“The price war is now over. Fares will go up, without a question. The days of Toronto to Calgary for $99 are over,” John Gradek, a former Air Canada executive and head of McGill University’s Global Aviation Leadership Program, told the Star.

Flair Airlines has been troubled by recent news stories that state it owes the federal government $67 million in back taxes.

Flair is based in Edmonton, while Lynx has its headquarters in Calgary. Flair has 20 planes in its fleet, while Lynx has eight.

Stay tuned for more information.

Jim Byers

Contributor

Jim Byers is a freelance travel writer based in Toronto. He was formerly travel editor at the Toronto Star and now writes for a variety of publications in Canada and around the world. He's also a regular guest on CBC, CTV News, Global News and other television and radio networks.

You may also like
FAA Lifts American Airlines Nationwide Ground Stop
The glitch that almost stole Christmas for millions of Americans has been fixed. The FAA briefly grounded all American Airlines flights ...
New Passenger Protection Rules “Will Make Flying More Expensive”
Air Canada, the National Airlines Council and the Canadian Chamber of Commerce say proposed government passenger protection rules will lead to ...
CTA Submits Stiff ‘No Fault’ Flight Disruption Rules
The Canadian government is proposing tough air passenger protection rights, including requiring airlines to provide meals and hotels for disruptions of ...
Just call him "Captain Jim." Open Jaw Senior Writer on board a Le Boat craft on the Trent-Severn Waterway.
A Year of Travel Tales: Sushi Tossing and a Sponge Bob Super Bowl
Open Jaw Senior Writer Jim Byers weighs in on some unusual travel experiences in 2024, including a Sponge Bob Square Pants ...
Carnival Cruise Line funnel.
Carnival Profits Fueled by 'Insatiable' Demand For Cruising
Carnival Corp. has posted better than expected profits for the fourth quarter of this year and says it’s already booked two-thirds ...

Talk Back! Post a comment: