Icelandair Group has entered into a share purchase agreement to purchase all shares in the airline WOW air.
The acquisition is subject to, approval by Icelandair Group‘s shareholders, and the Icelandic competition authorities.
The companies will continue to operate under separate brands. Their combined market share on the transatlantic market is around 3.8%. The acquisition creates an opportunity for both companies to become even better prepared to provide international carriers with strong competition in the international airline market.
UPDATE (29 November 2018): The acquisition of Icelandair Group of WOW air, based on a purchase agreement signed on 5 November, has been cancelled. Both parties agree on this outcome.
Icelandair Group hf. said that it would be unlikely that all of the conditions in the share purchase agreement would be fulfilled. Therefore, it is unlikely that the Board of Directors of Icelandair Group can recommend to the shareholders that they agree to the purchase agreement. Due to this situation, both parties agree to abandon the purchase agreement.
— Icelandair Group