Posted on: 31 August 2018 by Mark Howells
Finnair has sold a majority stake in its regional subsidiary Nordic Regional Airlines (NORRA) to Denmark’s Danish Air Transport (DAT) for an undisclosed amount.
DAT acquired 60% of Helsinki Vantaa-based NORRA, with Finnair to continue to own the remaining 40%. Finnair has been holding total ownership of the airline on an interim basis since November last year, when its previous owners (who held 60% of the shares) exited the regional carrier.
The Finnish flag carrier says the transaction will have no impact on NORRA’s operations or personnel. The airline is a preferred partner of Finnair and operates domestic and some European routes using its 24-strong fleet of 12 ATR 72-500 turboprops and 12 Embraer E190 regional jets, totalling over 50,000 flights annually.
“Finnair’s and NORRA’s partnership model in domestic and regional purchase traffic has served us well, and Danish Air Transport will strengthen the partnership even more. They have solid experience in operating regional traffic with an ATR-fleet,” said Jaakko Schildt, Finnair’s chief operating officer.
DAT’s Jesper Rungholm added: “We know there are great opportunities in a strategic partnership. We can strengthen our technical and operational knowledge. The companies have the same size, and both fly with ATR aircraft, which gives operating and purchasing advantages. With our knowledge on scheduled and charter flights, together with NORRA’s know-how, we can develop the business together. And with new options on the Embraer 190 aircraft, that fits into our niche charter production.”
The deal still requires approval by the Finnish Competition and Consumer Authority.
DAT mostly provides several scheduled services, as well as passenger charters and freight services.
NORRA was originally founded in 1993 and has previously operated as Finnish Commuter Airlines and Flybe Finland. The company’s ATR fleet will continue to operate in NORRA livery, while the Embraer fleet will continue under the colours of Finnair.