Major U.S. Regional Airlines Set to Merge Soon

Merger Approval: Mesa Air Group shareholders have approved the merger with Republic Airways Holdings, which is expected to enhance the scale and stability of the combined company, pending regulatory approvals.

New Company Structure: The merged entity will be named Republic Airways Holdings, trading on Nasdaq as RJET, with Republic shareholders holding the majority of shares and Mesa shareholders owning between 6% and 12%.

Operational Continuity: The combined company will continue to operate under agreements with major airlines like American Airlines, Delta, and United, with Mesa's operations primarily supporting United under a new 10-year agreement.

Financial Outlook: The merger is projected to generate an annual revenue run-rate of $1.8 billion to $2 billion, and Mesa Air's stock has seen a 44% increase year-to-date, making it the top-performing U.S. airline stock.