Norwegian Air Gives Up Long-Haul Flying in Plan to Exit Insolvency
- Low-cost carrier would return to roots as European discounter
- Seeks to raise as much as $590 million in new capital
Photographer: Jonathan Nackstrand/AFP/Getty Images
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Norwegian Air Shuttle ASA will give up the low-cost, long-haul business that made it a household name, returning to its roots operating shorter European flights under a plan to exit insolvency.
The restructured airline would serve the Nordics and European destinations with about 50 narrow-body aircraft in 2021, rising to 70 planes next year, Norwegian Air said Thursday in a statement. It seeks to raise as much as 5 billion kroner ($590 million) in new capital through a rights issue, a private placement and a hybrid instrument.