Germans join BA in battle for Norwegian

THE Germans have entered the battle to take control of Norwegian Air.

Lufthansa has held talks with its low-cost rival about a deal – setting the scene for a bidding war with British Airways owner IAG.

Ryanair is also said to have had discussions with Norwegian regarding a tie-up – something the company denies.

Lufthansa boss Carsten Spohr said ‘everyone is talking to everyone’ as a wave of consolidation sweeps the industry.

Norwegian shares jumped 10pc on the stock exchange in Oslo yesterday after Lufthansa revealed its interest. IAG, which owns 4.6pc of Norwegian, has had two bids rejected by the carrier and not ruled out a third.

Norwegian has shaken up the industry by offering low-cost flights over long distances. Its Gatwick-New York flights are £164.90 one-way. But there are fears rapid expansion has come at a cost. It made a loss of around £89m for the fourth quarter of the year.