Las Vegas-based Allegiant and Minneapolis-based Sun Country Airlines announced a definitive merger agreement Sunday, a move that will combine two robust leisure carriers into a single entity serving 22 million annual passengers.
Why Care?
This merger significantly expands the vacation map for travel advisors. It links Allegiant’s stronghold in small-to-mid-sized U.S. cities with Sun Country’s international footprint, opening up new access to Mexico, the Caribbean, and Central America for Allegiant’s client base.
The deal values Sun Country at approximately $1.5 billion. By combining fleets and networks, the companies aim to create an “adaptable and resilient” model that balances scheduled passenger service with Sun Country’s lucrative charter and cargo operations (including contracts with Amazon and the Department of Defense).
By the Numbers
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195: The total number of aircraft in the combined fleet (a mix of Airbus and Boeing).
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650+: Total routes across the combined network.
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175: The number of cities served.
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23 Million: The combined size of the loyalty program (21 million from Allegiant, 2 million from Sun Country).
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$140 Million: Expected annual synergies by year three.
For Your Clients
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No immediate changes: Both airlines will continue to operate separately until a single operating certificate is obtained from the FAA. Ticketing, flight schedules, and the travel experience remain unchanged for now.
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Loyalty boost: The merger promises an enhanced loyalty rewards program with expanded earning options and benefits across the larger network.
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Network expansion: The combined map connects Minneapolis-St. Paul (which remains a key hub) to Allegiant’s mid-sized markets, while providing Allegiant customers access to 18 new international destinations via Sun Country.
What They’re Saying
“Together, our complementary networks will expand our reach to more vacation destinations including international locations,” said Allegiant CEO Gregory C. Anderson in a statement. “We will create an even more resilient and agile airline that delivers greater value to travelers.”
The bottom line: While the brands are merging under the Allegiant name, the distinct operational strengths — Allegiant’s domestic scheduled service and Sun Country’s charter/cargo agility — are designed to keep the airline profitable and reliable through varying economic cycles.
What’s Next
The transaction is expected to close in the second half of 2026, subject to shareholder and regulatory approvals. Allegiant CEO Gregory C. Anderson will lead the combined company, while Sun Country CEO Jude Bricker will join the Board of Directors.
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