International Airlines Group (IAG) has confirmed it acquired a minority stake in low-cost carrier Norwegian, a move that could pave the way for a possible future takeover.
IAG, the parent company of British Airways, said it purchased a 4.61 percent holding in Norwegian Air Shuttle ASA. The group described the stake as “intended to establish a position from which to initiate discussions with Norwegian, including the possibility of a full offer” for the carrier.
While IAG called Norwegian “an attractive investment,” it stressed that it has not decided to make an offer and that there is no certainty such a decision will be taken. “IAG has taken no decision to make an offer at this time,” the company said, adding that it would issue a further announcement if appropriate.
Norwegian responded that it had only just been informed of IAG’s share purchase. “Norwegian has just been made aware that the International Airlines Group (IAG) has acquired 4.6 percent of the shares in Norwegian Air Shuttle ASA. Norwegian had no prior knowledge of this acquisition before the media reported it,” the airline said. The statement added that Norwegian had not been in any discussions or dialogue with IAG about the acquisition.
Norwegian also noted that interest from one of the world’s largest aviation groups underscores the sustainability and potential of its business model and prospects for global growth. The company said it had no further comments at this stage.
The transaction marks a strategic step by IAG that could lead to negotiations and possibly a takeover offer, though both parties so far have limited their comments. IAG’s purchase gives it a platform from which to open talks, while Norwegian’s reaction highlights the surprise element and the carrier’s view that outside interest affirms its market position.
Market observers will watch closely for any follow-up announcements from either company. Key factors that could influence the outcome include regulatory approval in relevant jurisdictions, the willingness of Norwegian’s board and shareholders to engage in discussions, and IAG’s broader strategic objectives for expanding its low-cost and European short-haul operations. For now, both companies have confined their remarks to brief official statements and have not provided further detail.
The development adds to a wider pattern of consolidation and strategic investment in the airline industry, where legacy carriers and airline groups have increasingly evaluated stakes in low-cost carriers to diversify route networks, capture new market segments, and achieve cost synergies. Whether IAG’s stake will ultimately lead to a formal offer remains uncertain, but the move itself signals active interest in strengthening presence in markets served by Norwegian.