Norwegian Air Shuttle to acquire Widerøe in strategic expansion move

Norwegian Air Shuttle, trading as Norwegian, has entered an agreement to acquire Widerøe, Norway’s major regional carrier in a NOK 1,125 million deal ($106 million) with WF Holding AS.

The acquisition promises to offer customers a wider route network, more options, and contribute to local job security. Despite the acquisition, Widerøe will retain its brand, organization, and Bodø-based headquarters, operating as a separate entity.

The acquisition aims to integrate Widerøe’s extensive regional route network with Norwegian’s attractive domestic and international routes. This ensures improved connectivity and a seamless end-to-end experience for customers. Widerøe services more than 40 small to medium-sized airports across Norway and a few larger European ones. In contrast, Norwegian provides over 300 routes to 114 destinations in the Nordics and Europe.

Of the 107 routes in Norway, 85 are operated by Widerøe and 22 by Norwegian, revealing minimal overlap and strong complementarity. Only five of these routes overlap, and all can accommodate standard jet aircraft.

Geir Karlsen — Norwegian CEO said: “This is 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. With this transaction, we will now create a streamlined and more comprehensive offer for all customers, and we look forward to offering seamless travel across our entire route networks.”

Widerøe, the oldest aviation group in Norway, boasts a fleet of nearly 50 aircraft and controls around 20 percent of the domestic market share based on passenger count. Both Widerøe and Norwegian will continue to maintain their bases and headquarters in Norway. Existing collective agreements will continue to govern employees, and Widerøe will uphold its existing agreements with other airlines.

The Widerøe Group, which employs over 3500 individuals, comprises several subsidiaries, including Widerøe’s Flyveselskap AS, Widerøe Ground Handling AS, Widerøe Technical Services AS, Widerøe Zero AS, Widerøe Property AS, and Widerøe Asset AS. The Group’s operations significantly impact regional Norway’s economy, healthcare, education, tourism, and culture.

The current owners of the Widerøe Group, WF Holding, include Flyco and Fjord1, who hold ownership stakes of 66 and 34 percent, respectively.

Stein Nilsen — Widerøe CEO said: “Widerøe has a close to 90-year history, and we are the guarantor of a well-functioning route network in regional Norway. 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.”