Report: JetBlue, Alaska Air Battling For Virgin America Buyout

Shares of Virgin America Inc VA were surging last week on reports that the company was considering buyout offers. While the identities of potential buyers were not revealed at the time, Buckingham analyst Daniel McKenzie saw JetBlue Airways Corporation JBLU as the only logical buyer.

Related Link: JetBlue Seen As The 'Only' Logical Acquirer Of Virgin America, May Be Forced Into Deal

On Monday, Virgin America was on the rise once again, as new reports assured that the company had received takeover offers not only from JetBlue, but also from Alaska Air Group, Inc. ALK, after putting itself up for sale. People familiar with the issue said that the carrier backed by famed billionaire Richard Branson is in discussion by both companies, and that a deal could be made public next week.

Shares of Virgin America were trading up almost 10 percent on Monday afternoon. JetBlue and Alaska Air also posted gains of 2.5 and 0.75 percent, respectively. Spokespeople from the acquiring companies refused to comment on rumors or speculation. Virgin America has not responded the requests for comments yet.

Disclosure: Javier Hasse holds no positions in any of the securities mentioned above.