Spirit rejects Frontier merger offer due to it being 'insufficent', will continue pursuing standalone exit from Chapter 11 in Q1 2025.

As above, in a 8K filed just now.

'Frontier confirms that it has had preliminary confidential discussions with Spirit and has made a proposal to combine with Spirit in a transaction that provides for, among other things, the issuance of $400.0 million principal amount of debt by the Company and 19.0% of the Company's common equity at the closing of the transaction, to be distributed to the Holders of Senior Secured Notes, 2025 Convertible Notes, 2026 Convertible Notes and Existing Interests.Spirit disclosure: Following discussions among the Company, Frontier and the NDA Parties, the Company and the NDA Parties each determined that the Proposal would deliver less in value to the Company's stakeholders than what was contemplated by the Company's existing Plan, is uncertain as to timing and completion, including the need for regulatory and court approvals, and is not actionable considering it would require the NDA Parties to invest $350 million in equity, which they were not willing to do based on the terms of the Proposal. Furthermore, unless waived by the relevant Consenting Stakeholders, the Proposal would have required the Company to pay a $35 million backstop fee under the Company's court-approved equity rights offering backstop agreement. The Company has determined, barring new developments, not to further delay its planned emergence from Chapter 11. The Company continues to advance through its restructuring process, which will significantly deleverage the Company and position it for long-term success. As noted above, the Combined Hearing to consider confirmation of the Plan is currently scheduled for February 13, 2025 at 10am EST, and the Company expects to complete the restructuring in the first quarter of 2025.'