Frontier Owner Steps In to Rescue Wow Air
Photo Credit: Indigo Partners, a private equity firm, has agreed in principle to invest in Wow Air. Pictured is one of Wow's Airbus A321s. Wow Air
Skift Take
Wow Air has delighted passengers with low fares since 2011. But its creditors have not been as happy. Will that change if this investment goes through?
Just hours after Icelandair abandoned plans to buy struggling domestic rival Wow Air, Indigo Partners, the private equity firm that controls Frontier Airlines and owns stakes in several other ultra-low-cost carriers in Europe and the Americas, agreed in principle to invest in the carrier, potentially ensuring it remains a viable enterprise.
It is far from a done deal, however. In a release late Thursday, Indigo said it will make its investment — the amount of which it did not disclose — after "successful completion of due diligence." Indigo said Skuli Mogensen, Wow Air's founder and CEO, would remain a principal investor if the deal closes. The two companies said they would would work to close as soon as practical.
Indigo Partners is perhaps the best known and most successful privat
