{"id":73059,"date":"2018-04-13T12:06:24","date_gmt":"2018-04-13T10:06:24","guid":{"rendered":"https:\/\/www.voyages-d-affaires.com\/?p=73059"},"modified":"2023-08-23T16:00:06","modified_gmt":"2023-08-23T14:00:06","slug":"iag-buyout-norwegian","status":"publish","type":"post","link":"https:\/\/www.voyages-d-affaires.com\/en\/iag-buyout-norwegian","title":{"rendered":"IAG unveils its interest in Norwegian"},"content":{"rendered":"

Will IAG acquire Norwegian? Although nothing has been decided yet, the parent company of British Airways, Iberia, Vueling and Aer Lingus has revealed its cards after acquiring 4.61 % long-haul low-cost carrier<\/strong> in full expansion. \"A minority investment to establish a position from which to enter into discussions with Norwegian, including the possibility of a full offer<\/em>\"said the British group in a press release. Norwegian admits that it had \"no prior knowledge of this acquisition before it was reported by the media in the middle of Thursday morning<\/em>\".<\/p>\n

Although the two parties state that they have had no joint discussions on this subject, the possibility of a buyout is gaining ground<\/strong>. This would undoubtedly be a masterstroke for the aeronautical group, as well as a major boost for long-haul low-cost airlines. AirAsia in Asia, Wow Air and Eurowings<\/a>Lufthansa in Europe, French Bee in France: a number of players have begun to apply the low-cost concept to cross-border flights. IAG too, unlike Air France-KLM, clearly believes in the model, as demonstrated by the launch of Level<\/a> last year. The company, which made its debut in July 2017 by opening routes to the United States and South America from Barcelona, is preparing its first flights at Paris Orly<\/a> for summer 2018, to New York Newark, Montreal, Guadeloupe and Martinique. Last March, Reuters reported that IAG intended to expand Level's fleet to 30 aircraft by 2022.<\/p>\n

If the acquisition of Norwegian were to go ahead, IAG's assets would include an already well-established company<\/strong> notably at Paris CDG, but above all in the United Kingdom. The third largest airline at London Gatwick, with 4.6 million passengers carried, Norwegian covers 11 destinations in the United States, as well as Buenos Aires and Singapore. Last year, the airline also launched transatlantic flights from Edinburgh, Belfast, Dublin, Cork and Shannon. \"Interest from one of the world's largest aerospace groups demonstrates the sustainability and potential of our business model and global growth<\/em>\"Norwegian explains in the press release commenting on the announcement of IAG's acquisition of a stake.<\/p>\n

However, buying the company run by Bjorn Kjoes would not be without costs for the British aerospace group. For, in its drive for accelerated growth, Norwegian has shown itself to be expensive<\/strong>. 32 new aircraft entered its fleet last year - Boeing B787 Dreamliners, B737 MAXs and latest-generation B 737-800s, not to mention future orders. Although the airline carried 33 million passengers last year, representing growth of 13 %, Norwegian ended 2017 with a net loss of 299 million kroner - \u20ac31 million - while its debt stands at 22.26 billion kroner, or \u20ac2.31 billion. Perhaps this is the price it has to pay to become the undisputed leader in a fast-growing segment.<\/p>\n\n\n