European airline Norwegian has agreed a deal to buy fellow Norway-based carrier Wideroe in a deal worth around €100 million (NOK1,125 million).
The deal will see Wideroe, which runs both domestic and European services, continue to operate as a separate company and airline brand. The two airlines had already vowed to collaborate more closely as part of a deal struck in 2022.
Norwegian said that the two airlines have “very limited overlap” on their route networks, which meant they “complement each other very well”. Only five of Wideroe’s current 85 routes are also operated by Norwegian.
Geir Karlsen, CEO of Norwegian, called the deal with Wideroe a “milestone in Norwegian aviation history”.
“Our two airlines have existed side-by-side for many years and no one knows the aviation market in Norway better,” said Karlsen. “With this transaction, we will now create a streamlined and more comprehensive offer for all customers.”
Wideroe, based in Bodo, has nearly 50 aircraft in its fleet and currently has a 20 per cent share of Norway’s domestic passenger market.
Stein Nilsen, CEO of Wideroe, added: “Although we have a solid footprint in Norway, we are smaller in an international context. The tax level for air travel in Norway is particularly high, and this, in combination with fierce international competition, makes it difficult for a smaller regional airline to persevere without a strong partner.
“We are therefore very happy to now join forces with Norwegian, and we are excited to get an industrial owner that aspires to develop both companies further.”