Spirit Airlines, one of the largest low-cost carriers in the United States, is preparing for a possible change in ownership as it continues to grapple with financial difficulties. According to information reported by CNBC, the airline is in discussions with investment firm Castlelake regarding a potential sale.
This option emerged after renewed merger talks with fellow ultra-low-cost carrier Frontier Airlines once again failed to produce a result. Spirit filed for Chapter 11 bankruptcy protection in August 2025 and has since implemented sweeping cost-cutting measures, including fleet and network reductions as well as workforce downsizing. Agreements with pilots on wage concessions generated approximately $100 million in savings, yet these steps were not sufficient to revive the long-discussed merger with Frontier.
Castlelake’s potential involvement could signal a strategic shift for Spirit away from industry consolidation toward a model focused on financial restructuring. The investment firm manages tens of billions of dollars in assets and maintains an active presence in aviation-related investments, positioning it as a key player in any potential turnaround effort.
If the talks progress, the outcome could shape the future of Spirit Airlines at a time when its options have become increasingly limited following unsuccessful merger attempts and ongoing financial pressure.
