Crowdfunding campaign raises millions in bid to buy Spirit Airlines after collapse

A viral crowdfunding campaign is drawing millions of dollars in pledges to buy defunct Spirit Airlines, highlighting a growing push for public ownership in industries long dominated by private equity firms.

The initiative, launched by TikTok creator Hunter Peterson, gained traction just days after the airline shut down operations on May 2, ending a 34-year run. Within a short time, more than 36,000 supporters pledged nearly $23 million in non-binding commitments to the campaign, dubbed “Let’s Buy Spirit.”

A viral push against private equity firms

Peterson said the idea began as a joke but quickly evolved into a serious movement. Former passengers and employees, many affected by the airline’s collapse, rallied behind the campaign’s message: prevent acquisition by private equity firms and instead pursue a community-owned structure.

“The people can own it,” reads the campaign’s slogan.

The effort reflects rising frustration with traditional corporate ownership model structures, particularly in sectors facing consolidation. Supporters say a community-led approach could reshape how airlines operate, prioritizing affordability and service over investor returns.

The funding gap in aviation industry investment

Despite early momentum, the campaign faces a steep financial challenge. The estimated cost to acquire the airline is about $1.7 billion, far exceeding the $23 million pledged so far.

The gap underscores the capital-intensive nature of aviation industry investment, where high operational costs, regulatory hurdles, and creditor obligations create significant barriers to entry.

Spirit Airlines’ collapse followed years of financial instability, including failed merger attempts and a rejected federal bailout worth $500 million. The shutdown impacted around 17,000 employees and disrupted travel plans nationwide, forcing rival airlines to introduce capped fares and additional flights.

Digital platforms reshape financial mobilization

The rapid rise of the crowdfunding campaign highlights how social media platforms are transforming financial engagement. What began as a viral idea quickly became a large-scale public response to corporate failure.

Analysts say this reflects a broader shift: digital communities are increasingly willing to back unconventional financial ventures, especially when tied to dissatisfaction with existing systems.

However, experts caution that enthusiasm alone may not translate into a viable acquisition. Any deal would require regulatory approval, negotiations with creditors, and a complete operational overhaul.

Can community ownership work?

The campaign draws inspiration from publicly owned organizations and fan-backed models in other industries. But aviation presents unique challenges, including strict regulatory frameworks and high capital requirements.

While the initiative remains in its early stages, with no funds formally collected, it signals growing interest in alternative ownership structures.

Read also: $2.1bn in debt: Should taxpayers save Spirit Airlines?