Norwegian to acquire regional carrier Wideroe
Norwegian has inked an airline acquisition deal to buy Norway regional carrier Widerøe.
Widerøe will continue as a separate company maintaining its own brand name and headquarters in Bodø.
Widerøe flies to more than 40 small and medium-sized airports across Norway, as well as on some international routes in Europe.
The airline acquisition is worth about NOK1.12 billion ($106 million).
“This is a milestone in Norwegian aviation history. No one knows the aviation market in Norway better,” said Geir Karlsen, Norwegian CEO.
“With this transaction, we will now create a streamlined and more comprehensive offer for all customers.”
It says the acquisition will generate annual cost savings of up to NOK300 million.
Widerøe is Norway’s oldest aviation group and has a fleet of nearly 50 aircraft.
It has a market share of about 20% of the Norwegian domestic market.
“The agreement will facilitate more efficient operations that lay the foundation for a strong Norwegian aviation industry.”
Employees will remain in their existing companies and Widerøe will continue existing agreements with other airlines.
The Widerøe workforce numbers more than 3,500 employees.
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