Canadian media have reported that two of the country’s ultra-low-cost carriers – Lynx and Flair Airlines – are on the cusp of announcing a merger.
The potential deal was first reported by The Airline Observer on 8 February, picked up by The Toronto Star last week, and could be made public as soon as this week.
Neither airline immediately responded to requests for comment.
Edmonton-based Flair, which has been dealing wtih financial troubles, is 25%-owned by 777 Partners, while its competitor Lynx is partially owned by Indigo Partners, which controls numerous low-cost carriers such as Frontier Airlines and JetSmart.
Last month 777 Partners was being pursued by lessors of four aircraft formerly operated by Flair, over allegations of non-payment. Last March, the lessors served default notices on Flair regarding outstanding payments amounting to $1.8 million on the four aircraft. The airline is also accused of owing the Canadian government C$67.2 million ($49.8 million) in unpaid taxes, forcing it to suspend some expansion plans.
According to Cirium fleets data, Flair operates 18 Boeing 737 aircraft, of which 16 are the Max model. Lynx, which launched operations in April 2022, has nine Max aircraft in service, and 37 more on order with Boeing.
The deal would mark an additional consolidation in the Canadian low-cost air carrier market.
Last October, WestJet Group completed the integration of former ultra-low-cost subsidiary Swoop into its primary WestJet operation, and the integration of Sunwing, which the company acquired last year, should be complete by October 2024. WestJet has said Sunwing’s fleet will be moved onto its air operator certificate.
