Alaska Airlines to Acquire Hawaiian Airlines in $1.9 Billion Deal

Alaska Air Group and Hawaiian have announced a significant agreement, revealing that Alaska Airlines will acquire Hawaiian Airlines for $18.00 per share in cash, totaling approximately $1.9 billion, including $0.9 billion of net debt from Hawaiian Airlines.

Upon regulatory approval, the merger is expected to enhance competitiveness in the US airline market, particularly in regions heavily reliant on air travel, such as Alaska and Hawai’i. The combination aims to provide customers with an expanded range of destinations and essential air service options across the Pacific, the continental US, and globally.

“This combination is an exciting next step in our collective journey to provide a better travel experience for our guests and expand options for West Coast and Hawai’i travelers,” said Ben Minicucci, CEO of Alaska Airlines. Both brands’ unique cultures will be preserved, and the merger is anticipated to benefit environmental responsibility, long-term employment, community investment, and competitiveness in the US.

Alaska Airlines plans to maintain the Alaska and Hawaiian brands, integrating them into a single operating platform while preserving outstanding service and hospitality. The deal is set to triple the number of destinations in North America accessible from the Hawaiian Islands, increase air cargo capacity, and strategically position Honolulu as a key hub.

The merger, subject to regulatory approvals and shareholder consent, is expected to be completed within 12-18 months, with Ben Minicucci leading the merged organization from Seattle. The dedicated leadership team will focus on integration planning.

“In Alaska Airlines, we are joining an airline that has long served Hawai‘i and has a complementary network and a shared culture of service,” said Peter Ingram, President, and CEO of Hawaiian Airlines. The transaction is expected to provide significant, immediate, and compelling value to Hawaiian Airlines shareholders through an all-cash transaction.

The combination of Alaska and Hawaiian Airlines aims to offer enhanced benefits to loyalty members, expanded global lounge access, and access to 29 global partners. The boards of both airlines have approved the transaction agreement, awaiting regulatory and shareholder approval.