Spirit Airlines to Exit Bankruptcy Under Go-Private Deal (1)

Spirit Airlines Inc. won court approval to leave bankruptcy via a lender-backed take-private deal after rejecting a takeover offer from rival Frontier Group Holdings Inc.

Judge Sean Lane said Thursday he would authorize Spirit’s restructuring plan, which hands control of the Florida-based discount airline to top bondholders. That group includes Ken Griffin’s Citadel Advisors, Pacific Investment Management Co. and Western Asset Management Co., according to court documents.

Spirit in November sought court protection to restructure about $1.6 billion in debt after losing ground post-pandemic as larger airlines lured travelers away by offering more basic-economy fares. The company ...