Allegiant Travel and Sun Country Airlines received key regulatory approval from the U.S. Department of Transportation (DOT) on April 15, 2026, clearing the final hurdle for their merger and advancing the closing to May 13.
This exemption allows both carriers to operate independently under unified ownership post-closing, fulfilling the last regulatory condition for Allegiant’s acquisition of Sun Country, announced in January for $1.5 billion in cash and stock.
Shareholder votes are set for special meetings on May 8, after which the airlines will maintain separate operations and business models while pursuing a single Air Operator Certificate (AOC), expected in 2027 after about 14 months of integration work.
The combined entity will control a fleet of 195 aircraft across 650 routes, serving 22 million passengers annually and expanding international reach to 18 destinations in Mexico, Central America, Canada, and the Caribbean.
Allegiant shareholders will own 67% of the new company, with Sun Country’s at 33%, bolstering scale in the low-cost leisure market amid rising competition. Operations remain independent initially to ensure continuity in safety protocols and route networks.
This accelerated timeline, shifted from late 2026, strengthens Allegiant’s position by integrating Sun Country’s hybrid low-cost model focused on leisure, VFR traffic, charters, and cargo services.