DENVER - Indigo Partners LLC, a Phoenix-based private-equity firm, has closed on its purchase of Denver's Frontier Airlines.
Frontier will keep its headquarters in Denver, the company announced Tuesday afternoon.
Indigo Partners purchased Frontier from Indianapolis-based Republic Airways Holdings (Nasdaq: RJET), which has owned the airline since buying out of bankruptcy in October 2009. Republic put Frontier up for sale more than a year ago.
Final terms of the purchase weren't disclosed, but Republic announced in October it had reached an agreement to sell Frontier for $145 million. Of the purchase price, $36 million was to be paid in cash for Frontier equity and the rest was indebtedness that will be retained by Frontier.
Indigo Partners, which previously invested in Tiger Airways and Spirit Airlines, was founded in 2003. The company maintains a stake in Wizz Air Holdings Plc and Volaris Airlines.
William A. Franke, managing partner of Indigo Partners, said in announcing the closing of the purchase that "Today is an exciting day for Frontier Airlines and Indigo Partners, as we can now embark on a new chapter in Frontier's history of providing safe, reliable and fairly priced air service."
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