American Airlines and US Airways, essentially cleared for merger next month, said that the combined company, the world’s biggest airline, will trade on the Nasdaq Stock Market.
American’s parent, AMR Corporation, and US Airways Group cleared a major hurdle for their merger on Tuesday by agreeing to drop airport slots and other rights at key airports in a proposed deal settling a Justice Department anti-trust lawsuit.
Court approval of the deal appeared likely, and the two companies announced plans for the new American Airlines to debut on the tech-rich Nasdaq, abandoning the rival New York Stock Exchange (NYSE), where US Airways currently trades.
American used to be listed on the NYSE but is now being traded over the counter as it undergoes Chapter 11 bankruptcy reorganisation.
“Upon closing of the merger and AMR’s emergence from Chapter 11, the combined company will be renamed American Airlines Group Inc and will use the ticker symbol AAL,” the companies said in a joint statement.
US Airways and AMR common stock will be cancelled and current investors will receive shares in the combined group under the merger terms.
“Today we moved another step closer in our preparations to launch the new American Airlines. NASDAQ offers a most advanced trading platform driven by innovation and efficiency — qualities that complement the new American,” Tom Horton, AMR Chairman, President and Chief Executive Officer, and incoming Chairman of the new American, said in the statement.