International Finance

IAG will possibly bid for Norwegian Air Shuttle

IAG, Norwegian Air Shuttle, British Airways, International Airlines Group, airline
IAG might bid on Norwegian Air Shuttle to keep up with the competition with other budget-friendly carriers

The parent company of British Airways, International Airlines Group (IAG) may propose to bid for Norwegian Air Shuttle, an economical airline of Norway to augment its market share in the middle of mounting competition from budget-friendly carriers, reported BBC.

Norwegian Air Shuttle confirmed it had no prior knowledge that IAG had acquired a 4.6% stake till the news got public on Thursday. With the emergence of the news, share prices of Norwegian Air Shuttle went up by 47% and IAG’s shares fell 1.2%.

Although Norwegian Air Shuttle said it had no prior discussion with IAG about the same, IAG said the interest validates the ‘sustainability and potential’ of their business model and overall global growth.

IAG is of the opinion that it hasn’t finalised its decision to go ahead making an offer to the Norwegian airline said: “The minority investment is intended to establish a position from which to initiate discussions with Norwegian, including the possibility of a full offer for Norwegian.”

What's New

UK chief executives earn more than average employees: study

Malaysia’s Fintec drops plan to acquire 75% stake in Zouk Club

Glaxosmithkline shareholders approve merger with Hindustan Unilever

Leave a Comment

* By using this form you agree with the storage and handling of your data by this website.