Frontier Airlines is reportedly planning an IPO.
According to unnamed sources, Frontier Airlines is working on its IPO. These sources spoke with The New York Times and asked not to be named due to the private nature of the IPO.
Here are a few things to know about the Frontier Airlines IPO.
- The airline company has hired Deutsche Bank, JPMorgan Chase and Evercore to manage the IPO.
- These three were chosen after interviews with several banks about the IPO last year.
- It is looking to raise $500 million from its IPO.
- This would suggest that the company’s value is around $2 billion.
- Frontier Airlines financial details are not available, but it reportedly saw $129 million in profits in 2014.
- The company’s spokespeople, as well as those from the three banks said to be working on the IPO, have refused to comment on the matter.
- Bloomberg reported last year that the airline company was planning an IPO.
- At the time, the publication said it had hired Barclays, Deutsche Bank, JPMorgan Chase and Citigroup to help it with the IPO.
There’s also other evidence to support reports that Frontier Airlines is planning an IPO. Back in August of 2016, the company was looking to hire employees with certain financial skills. This included a senior accountant with Sarbanes-Oxley experience. Sarbanes-Oxley is the rules that public companies use for reporting financial information, reports The Denver Post.
Indigo Partners is the investment firm that currently owns Frontier Airlines. The firm is lead by Bill Franke. Franke is the Spirit Airlines Incorporated (NASDAQ:SAVE) chairman that was responsible for helping the airline make a comeback. It appears he plans to do the same with Frontier Airlines, NYT notes.