Republic Airways and Mesa Air Group are merging in an all-stock deal, creating one of the largest U.S. regional airlines with a combined fleet of 310 Embraer 170/175 aircraft and over 1,250 daily departures. The financial details were not disclosed.
Republic, serving major U.S. carriers including American, Delta, and United, carried 17.5 million passengers last year. Mesa, which flies exclusively as United Express, operates 60 aircraft with around 1,700 employees.
The merged company will be called Republic Airways Holdings Inc., and listed on the Nasdaq under “RJET”. Republic shareholders will own 88% of the new entity, while Mesa shareholders will own 6–12%, based on performance conditions. All of Mesa’s debt will be cleared in the deal.
The merger, approved by both companies’ boards, is expected to close in late Q3 or early Q4, pending shareholder approval. Mesa shares surged 67% on the announcement.
