Arctic Aviation Assets, a subsidiary of Norwegian Air Shuttle ASA, recently signed an agreement to sell two Airbus 320neo aircraft. Delivery will take place during February 2019. The transaction will increase the Company’s liquidity by US$26 million after repayment of debt. Subsequently, the sale will have a positive equity effect. Debts will be repaid and the company’s liquidity strengthened with the sale proceeds. The sale is in line with the Company’s strategy of leveraging the scale built up over the last few years. Additionally, the company’s focus has since changed focus from growth to profitability. This sale reflects that new focus.
Concurrently, this announcement is an extension of the stock exchange announcement detailing Norwegian’s plans to strengthen its balance sheet. This bulletin on 29 January, highlighted the sale of aircraft in a bid to reduce capital expenditures, along with delaying aircraft deliveries.
