Airline investors see a post-pandemic rebound in low-cost travel

New money is flowing to low-cost airlines in the US as they take on giant carriers racing to recover from the unprecedented collapse in travel during the pandemic. Two established carriers that had already been flying sold shares in the past month, while two new airlines managed to raise more than $100m each in a little over one year to cover startup costs. All four share a common trait: low operating costs and a customer base seeking affordable flights after more than a year of hunkering down close to home. They’re striking as the domestic leisure business is rapidly returning, even though industry revenue from corporate and international travelers — the domain of bigger carriers — remains depressed. “Low-cost, leisure-focused, domestic-oriented air travel has been in vogue like it’s never been in vogue before,” said Barry Biffle, CEO of Frontier Group Holdings, which held an IPO in March after withdrawing a previous effort to sell stock seven months earlier. Story has more.<br/>