The Toronto-headquartered private-equity firm is taking the airline private for $31 a share, 67 per cent more than its Friday closing price. Gerry Schwartz-led Onex will pay $3.5 billion in cash for Westjet and also take on $1.5 billion of the airline’s debt. (Bloomberg)

Talking point: WestJet is trying to find $200 million in cost reductions by 2020. The airline could benefit from the patience of a private-equity owner and Onex’s expertise in finding efficiencies as it tries to conquer the top and bottom of the market at the same time. Upstart Canadian discount carriers like Flair Airlines and Enerjet are expanding, bringing increased competition to Canada’s expensive domestic air travel market. To serve that customer, WestJet launched Swoop in June 2018. But the company also wants to grow its share of business and premium passengers from 21 per cent to 37 per cent, the same as its overall market share. The expense reductions will help offset the combination of low margins at Swoop and the high costs of adding new long-haul jets with business class cabins.