Skift Take
The two companies, Wideroe and Norwegian, maintaining distinct brands and operate independently from each other is an interesting strategy in a busy domestic travel market.
Norwegian Air has agreed to buy domestic peer Wideroe for 1.13 billion crowns ($106 million), it said on Thursday.
Norwegian Air said in a statement it saw potential annual synergies from the acquisition of 200-300 million Norwegian crowns.
“The transaction is expected to provide significant benefits for travellers, employees and shareholders, and to strengthen the combined Norwegian and Wideroe as a key part of critical domestic infrastructure,” the airline said.
It said it expected to close the deal by the end of the fourth quarter and would finance it through available funds.
The companies will continue to operate under their separate brands.
(Reporting by Louise Breusch Rasmussen, editing by Anna Ringstrom)
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Tags: airlines, mergers and acquisitions, norwegian air, Wideroe
Photo credit: A premium cabin on a Norwegian Air plane. Norwegian Air