The future of Wow Air looks uncertain after Icelandair Group ended discussions with the low-cost carrier after a day or two of them restarting.
Wow Air had entered talks with Icelandair Group on 20 March after previous potential investor Indigo Partners pulled out of investment negotiations the day before.
Icelandair Group said in a statement: “Icelandair Group has decided that its possible involvement in WOW air’s operations, as announced on 20 March 2019, will not materialize. Therefore, all discussions between the parties have ended.”
There were plans to conclude the negotiations by 25 March, but Wow will now need to look to find another investor to back its operations.
Cash-strapped Wow announced in November last year that it was originally in talks with Icelandair Group over merging which then broke down as pre-conditions for a shareholders’ meeting on the acquisition were not met.
Late last year, Wow returned four aircraft to lessors and revealed it was seeking urgent funding to keep it afloat. It now only operates Airbus A320s.