Hawaiian Holdings stock drops as deadline for DOJ decision on Alaska Air nears

Hawaiian Holdings (NASDAQ:HA) fell 6.5% amid investor concern that the Dept. of Justice might transfer to dam the airline’s deliberate $18 a share sale to Alaska Air (NYSE:ALK). Alaska Air (ALK) ticked decrease by virtually 1%.

Traders are involved that the possibilities that the DOJ might sue to dam the mix have elevated as an early August deadline approaches, merchants informed In search of Alpha. There seems to be extra of a way that the DOJ might attempt to halt the $1.9 billion acquisition of Hawaiian (HA), based on the merchants, who cited feedback from a sell-side dealer.

In Might, Hawaiian Holdings (HA) and Alaska Air (ALK) disclosed that they licensed substantial compliance with the DOJ’s second request. The certification triggered a 90-day interval for the DOJ to determine on the deal, which is about to run out Aug. 5.

The airways disclosed in late March that they entered right into a timing settlement with the DOJ after they obtained a DOJ second request in February in regards to the transaction.

Some buyers have been involved about that mixture after a decide in January blocked JetBlue’s (JBLU) deliberate $3.8 billion acquisition of Spirit Airways (SAVE).