This situation just keeps getting stranger.
We already know about “WAB Air”
In late March 2019, Icelandic low cost carrier WOW Air ceased operations. A couple of days ago I wrote about how there were plans to launch a new low cost carrier in Iceland that looked an awful lot like WOW Air. Some former WOW Air executives plan to launch the airline this fall, with the working name WAB Air (WAB=”We Are Back”).
While some WOW Air executives are behind the new venture, it has nothing to do with WOW Air directly — they haven’t bought any of WOW Air’s assets, and WOW Air’s former CEO is not involved in this venture (which is probably a good thing).
Well, there are now some other investors looking to launch a very similar concept in Iceland.
American investors buy WOW Air assets
It’s now being reported that unnamed American investors have apparently paid cash to acquire all assets related to flight operations from the bankrupt estate of WOW Air.
These assets include the WOW Air logo and branding, its website and domain, flight operations manual, booking system, other software, computers, spare parts, crew uniforms, and more.
It’s reported that the plan is to “resurrect low-cost flight operations to and from the country, both to Europe and the USA on the foundations of WOW air and in accordance with the philosophy that lay behind the low-cost model of WOW air.”
So we really don’t know who is behind this. Could it involve Indigo Partners, which was considering providing funding to WOW Air before they ceased operations? In many ways they’re in a better position now than before, as they can presumably do this all at a lower cost. Is WOW Air’s former CEO involved in this venture?
I guess they assume that it’s beneficial to have access to WOW Air branding, in which case they might have the advantage compared to the other investors hoping to launch operations in Iceland this fall.
WOW Air certainly has name recognition, though I’m not convinced it’s necessarily positive recognition.
It is going to be very, very interesting to see how this all unfolds…
Do you think we’ll see two, one, or no new low cost carriers launch in Iceland in the next year?